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• W244069352 abstract "Like a big bang, explosion of information technology, both symbolized and realized by Internet, has vastly multiplied opportunities for international commerce. Thanks to a digitally linked global economy, information zips across national frontiers without stopping at customs. A revolution is upon us, says IBM to its website readers; private sector is reinventing itself to deal with technology, but public sector is just beginning to face issues it raises.(1) One of those issues is future of trade policy. Has explosion of information technology changed fundamental character of trade policy as it has been practiced to date? If not, what impact does or should it have? In other words, what is new? This article will make case that information technology does not alter nature of U.S. trade policy, but it greatly expands its scope and partially transforms role of trade negotiators. With respect to telecommunications industry--i.e., highway builders or carriers of information--negotiators face a largely familiar set of topics. But fulfilling potential of electronic commerce, for-profit traffic on highway, opens up an unfamiliar universe of regulatory issues. The resolution of these issues will need to be coordinated with evolution of new multilateral rules. Increasingly, both policymakers and negotiators will find themselves not only holding talks with foreign governments, but also mediating between a variety of regulatory authorities and interest groups in their own country. But first, analyzing implications of new information technology for U.S. trade policymakers and negotiators requires a clear understanding of ways that globalization and technology have shaped trade--and hence U.S. trade policy agenda--thus far. GLOBALIZATION At root of globalization process are twin technological revolutions in information and transportation. These revolutions enable companies to engage in flexible manufacturing and customized production to supply local markets around world. A product meant for one set of consumers can easily be adapted for another. Mass production in a single location is disappearing. Few, if any, globally traded manufactured goods are produced in a single country, loaded into a crate and shipped intact to foreign customers. Instead, companies are now in a position to disperse different phases of industrial life cycle among different countries, depending on local conditions.(2) For example, a Nike basketball shoe that Americans believe is made solely with cheap labor in Indonesia actually contains 52 different components from five different countries.(3) A similar process is going on in burgeoning services industry as well as in certain sectors of agricultural industry. Corresponding changes are going on with respect to demand for goods and services. More and more governments are seeing advantages of opening up their territories to global market. Not only do consumers enjoy a wider range of choice; industries are also finding that imported materials, components and services can make them more productive. This is why economist Robert J. Samuelson defines globalization as the worldwide convergence of supply and demand.(4) Nowhere is this convergence more rapid and visible than in information industry. TECHNOLOGY People who hear word technology tend to think immediately of computers and vast array of products and services associated with them. But technology is best understood not as a particular type of product or service, but rather as full range of knowledge and means by which scientific knowledge is transformed into a usable commodity or service. When a company performs research and development, it is typically taking a scientific concept and finding ways to apply it to production of goods and services at affordable prices. …" @default.
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• W244069352 date "1998-03-22" @default.
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• W244069352 title "Horse Trading in Cyberspace: U.S. Trade Policy in the Information Age" @default.
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