Project title The rise of digital services, inter-state trade, and structural transformation
Project duration 4 weeks
Description

This project aims to understand to what extent the increase of digital services (e.g. internet, online shopping, digital video broadcasting, etc.) contributes to the rise of the entire service sector in the United States. In particular, those digital services that are consumable even when a consumer lives far from the supplier, and thus have a different nature from that of traditional services (hotel accommodation, restaurant, etc.).

In this project, we first try to document the amount of inter-state trade of digital services from the Input-Output Matrix from the U.S. Bureau of Economic Analysis. We then try to build a macro economic model of structural change with inter-state trade of those services, and use the model to quantify the contribution of the emergence of digital services to the rise of the service sector in the United State. This project will have implications for the prediction of the future path of the sectoral shares of the economy, and guide the policy makers with respect to the allocation of factors in future. 

Expected outcomes and deliverables
  • Data processing skills
  • Weekly reports and a final report with replication files, or if students prefer, they can present the work at the end of the project
Suitable for

This project to open students with a background in economics, preferably competing their honours or masters.

Primary supervisor Dr Jorge Miranda-Pinto
Dr Satoshi Tanaka