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2020. vol. 15. No. 4
Topic of the issue: Digitalization. Impact on global governance and sustainable development goals implementation
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7–29
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The spread of digital technologies has led to the global digitalization of all types of public activities. The digital economy emerging during this process has become a leading factor in world economic growth and one of the criteria of national development. The digital economy is based on the Internet, which ensures the functioning of new business models, forms of social interaction and public diplomacy. The Internet governance system differs from other modern international systems of public and political relations in that the leading role in it is played by non-governmental organizations, in particular, the Internet Corporation for Assigned Names and Numbers (ICANN) and the Internet Society (ISOC). The activities of states are significantly limited by the basic properties of the system, which complicates the implementation of the state’s digital sovereignty. The aim of this article is to determine ways to resolve this discrepancy.Analyzing the current state of Internet governance, the authors outline the key characteristics that lead to potential conflict. These include decentralization, an insufficient evaluative level of accountability and lack of legitimacy. The authors analyze ICANN and ISOC toolkits and identify the key instruments that actually make organizations central to the Internet governance system. In conclusion, the authors provide recommendations for action by the international community to mitigate the identified imbalances.
The article was written on the basis of the RANEPA state assignment research programme
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30–47
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The COVID-19 pandemic has laid bare how critical digitalplatforms are to the functioning of our economy. Big Techcompanies are likely going to emerge stronger from theCOVID-19 emergency, due to the massive surge in demand forpublic, retail and corporate digital services. This megatrendhas consolidated the dominant market position of digitalmultinationals – almost all of them from the US – in the EUmarkets, raising critical questions ranging from the EU’sambition for technological sovereignty to the much moreurgent issue of how Big Tech’s profits should be taxed. The“digital tax” issue – already the source of a lively internationaldebate before COVID-19 – has gained in prominence as itwould be an important instrument for governments in direneed of raising money to finance the post-pandemic economicrecovery. With the digital tax included the Next Generation EUrecovery fund presented by the European Commission, the EUis expected to further consolidate its global leadership in techregulations. However, European regulatory activism couldalso raise barriers to transatlantic trade and investments, thusproducing new tensions with the US. |
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48–69
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This article analyzes how the notion of “sovereignty” has been and is still mobilized in the realm of the digital. This notion is increasingly used to describe various forms of independence, control, and autonomy over digital infrastructures, technologies, and data. Our analysis originates from our previous and current research with activist “tech collectives” where we observed a use of the notion to emphasize alternative technological practices in a way that significantly differs from a governmental policy perspective. In this article, we review several publications in order to show the difference, if not diverging ways in which the notion is being conceptualized, in particular by different groups. We show that while the notion is generally used to assert some form of collective control on digital content and/or infrastructures, the precise interpretations, subjects, meanings, and definitions of sovereignty can significantly differ. |
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70–90
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This article is aimed at evaluation of regional digital inequality in BRICS countries. Using the data for 2014-2018 on internet usage and access to fixed broadband author calculates inequality ratios, including coefficient of variation and Theil index. Also author analyzes rural/urban differences and their dynamics. On the base of this calculations author shows decrease of regional inequality in all five countries. Further analysis is devoted to national digitalization strategies, which are aimed at development of remote areas and bridging digital divide. Author shows that there are measures in each strategy aimed at bridging digital divide on all three levels (infrastructure, usage and results). In a final part of the article author suggests directions for cooperation in BRICS, including exchange of best practices in realization of national strategies, composition of best practices in integrated measures aimed at development of remote areas and joint financing using opportunities provided by the New Development Bank. |
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91–114
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This article provides a content analysis of over 20 policy proposals for coping with the COVID-19 crisis that have been published by influential international organizations, governments, corporations, academics and civil society groups. The current situation, the role of digitalization during the crisis, and the composition of anti-crisis measures already taken by the world’s largest economies are investigated, and long-term measures are proposed aimed at restoring the global economy and moving toward more equitable and sustainable development.The authors identify a significant green component in public policy proposals published since the pandemic began and note that many proposals relate to equity and inclusiveness in development and meeting the needs of individuals. The authors further identify key areas of sustainable development that require action in the near future and which can create new opportunities for economic development: renewable energy and clean transport, cyclical economy, digitalization and environmental protection. At the same time, it is noted that the transition to a green economy is of a long-term nature and may conflict with the need in the short term to support the economy in overcoming the crisis.These priority areas for government action require attention within the framework of Russia’s anti-crisis policy. Given the sharp drop in oil prices, the acceleration of digitalization and decarbonization, and the magnitude of the 2020 economic crisis, Russia needs to begin an accelerated transition to low-carbon energy, a cyclical economy and the restoration of its ecosystems with accelerated digitalization. |
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115–139
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Poverty has been a critical issue for a long time and continues to affect developing countries in the era of booming digitalization. This study investigates the contribution of digitalization to poverty alleviation, confirming that it can promote economic growth. However, utilizing a sample of 37 developing countries in 2014 and 2016, this study observes that the extremely poor are deprived of their share of the benefits that digitalization can offer. Therefore, while strategies to further promote digitalization are critical to economic development, support systems or policies meant to bring those in extreme poverty into mainstream development are badly needed. |
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140–162
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The sustainable development agenda is gaining singular prominence in the context of studying development challenges in the Arctic. This region is particularly vulnerable to climate change and its ramifications and faces, due to its geographical remoteness, some of the greatest challenges in terms of the socio-economic aspects highlighted in the United Nations Sustainable Development Goals. This article reviews the experience of Canada, as a large northern country with vast territories and water areas beyond the Arctic Circle, in implementing national strategies and programmes for the development of its Arctic territories. The article identifies effective policy measures to create favourable conditions for sustainable socio-economic development through an analysis of the actual dynamics of key sustainable development indicators in Canada’s northern territories.Socio-economic development of the northern territories — Nunavut, Northwest Territories and Yukon — is one of the key priorities of Canada’s strategic development plans. These include the Federal Sustainable Development Strategy, the Northern Strategy and the Arctic and Northern Policy document. The following indicators were selected to analyze the implementation of these plans: population dynamics, life expectancy, gross regional product (GRP), unemployment rate, level of education of the population, share of economically active population, labour productivity, balance of regional budgets, federal subsidies in the structure of regional budgets, number of educational institutions, share of new renewable energy sources in the structure of electricity production, greenhouse gas emissions per capita, and hydrocarbons extraction. |
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163–188
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The 2020, intended to give a good start to the Decade of Action to achieve SDGs by the target date of 2030, became a year of unprecedented health, social and economic crisis. The COVID-19 pandemic plunged the world into the worst global recession since the Great Depression, reversed progress across the full range of the SDGs jeopardizing the Agenda 2030 implementation. To build back better it is vital to assess the COVID-19 pandemic impact on economic growth and sustainable development and reflect on how to reenergize partnerships for saving the SDGs. This article aims to assess the COVID-19 pandemic impact on economic growth and sustainable development and offer recommendations on international cooperation and partnerships for saving the SDGs. It article reviews estimates of the triple crisis toll on the goals implementation. It then looks at the key international institutions’ initiatives to support developing countries in their response to the pandemic and associated economic shocks. The article concludes by outlining priorities for strengthening international cooperation on sustainable development which include incorporation of key components of digitalization into the SDGs as concrete targets and indicators and a comprehensive G20-led debt relief initiative providing for the released funds allocation to poverty and inequality eradication, health and education - related SDGs. |
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189–195
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This review examines the key 2019 expert reports on the digitalization of the global economy in the context of the implementation of the United Nations Sustainable Development Goals (SDGs). Noting the beneficial overall impact of digitalization on the implementation of the key SDGs in relation to reduced poverty and misery, and increased social equality and ecological balance, the authors of the reports focus on the challenges that digitalization poses. Among the most important are: the threat of increasing social inequality as a result of the new international division of labour, the hyper-concentration of the digital market, the growing digital inequality, the threat to information security, and the weakening of the regulatory capacity of the state. The authors of the reports note that digitalization is a controversial process that can both help to achieve the SDGs and unwittingly hinder their implementation. In order for digitalization to contribute to the achievement of the SDGs, targeted and coordinated intergovernmental policy involving national and business stakeholders is important. |
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196–203
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Online platforms assumed an important role in the economy and society. They have brought significant benefits to consumers, businesses and governments, for example, by helping them more efficiently interact with significant number of people, trading partners and clients as well as provide government services. In the review the author observes reports of the Organization for Economic Cooperation and Development on the characteristics of digital platforms and their impact on the economy, society and politics. In addition, the author will touch upon the issues of labor market regulation, taxation, as well as the problems of ensuring the confidentiality of the collection, storage and use of data. |
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204–209
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The working paper is devoted to the issues of taxation in the digital economy. The main focus is on the concept of "user value". The authors argue that the widespread adoption of this concept has led to developing new approaches to calculating this value and the subsequent taxation of companies that profit from the use of user data.
The working paper examines the steps taken at the country level to develop taxation based on user value and the difficulties of implementing the concept. Nevertheless, the authors come to the conclusion that reforming the global tax system in this direction is inevitable. |
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