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  • 11-February-2021

    English

    Encouraging vulnerability treatment - Overview for policy makers

    Most digital security incidents are caused by malicious actors (e.g. cybercriminals and state-sponsored groups) exploiting vulnerabilities in organisations’ digital ecosystems. Addressing vulnerabilities before attackers take advantage of them is an effective means of reducing the probability of cybersecurity incidents. This paper discusses vulnerabilities in products’ code such as software and firmware, and in how products are implemented in information systems. It shows that the technical community has progressed in developing good practice for treating vulnerabilities, including through co-ordinated vulnerability disclosure (CVD). However, significant economic and social challenges prevent stakeholders from adopting good practice, such as legal frameworks that do not sufficiently protect 'ethical hackers' from legal proceedings. The paper stresses that public policies aimed at removing obstacles and encouraging vulnerability treatment could significantly reduce digital security risk for all. The findings from this paper will inform the development of a new OECD Recommendation in this area.
  • 10-February-2021

    English

    Going Digital in Latvia

    Going Digital in Latvia analyses recent developments in Latvia’s digital economy, reviews policies related to digitalisation and make recommendations to increase policy coherence in this area, based on the OECD Going Digital Integrated Policy Framework. The review uses strategic foresight to explore three alternative future scenarios, which could result from the digital transformation of the global economy and society. It also examines the availability and quality of communication networks and services in Latvia as well as related policies and regulations. Further, it reviews trends in digital technology usage among individuals, businesses and the government, and examines policies to foster diffusion. Finally, the review analyses opportunities and challenges raised by digitalisation in key areas, from innovation and skills to digital security and data governance, and evaluates policy responses to these changes in Latvia.
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  • 10-February-2021

    English

    Science, technology and innovation in the time of COVID-19

    Science, technology and innovation (STI) have played a key role in responding to the COVID-19 pandemic and the unprecedented socio-economic crisis it has triggered. This paper explores how the pandemic affected STI in 2020, including how STI was mobilised to provide vaccines, treatments and innovative (often digital) solutions to address 'social distancing'. The paper also reviews the quick and agile STI policy responses implemented across countries to stimulate research and innovation activities to find solutions to the pandemic. Moreover, the paper covers STI policies that targeted universities, research centres, innovative businesses and entrepreneurs most affected by the crisis. It also raises key debates on the effectiveness of such policies. Follow-up work will leverage more and better data to improve this early assessment of the impacts of the crisis and STI policy responses.
  • 9-February-2021

    English

    Understanding the digital security of products - An in-depth analysis

    Economies and societies are increasingly reliant upon 'smart products' that contain code and can connect to one another, e.g. through the Internet. Recent cyber-attacks such as Mirai, WannaCry, NotPetya and SolarWinds have underlined that the exploitation of vulnerabilities in smart products can have severe economic and social consequences. Such attacks increasingly threaten users’ safety and well-being, as well. This report shows that economic factors play an important role in the relative 'insecurity' of smart products. It develops an analytical framework based on the value chain and lifecycle of smart products, and applies the framework to three case studies: computers and smartphones, consumer Internet of Things (IoT) devices and cloud services. It demonstrates that complex and opaque value chains lead to a misallocation of responsibility for digital security risk management, while significant information asymmetries and externalities often limit stakeholders’ ability to behave optimally.
  • 9-February-2021

    English

    Enhancing the digital security of products - A policy discussion

    From 'traditional' software to cloud services and Internet of Things (IoT) devices, our economies and societies are increasingly reliant upon 'smart products' that contain code and can connect to each other, e.g. through the Internet. Such products are vulnerable to cyber security risk, and economic factors often play a major role in their relative ‘insecurity’. This report discusses how policy makers can address key challenges that prevent smart products from reaching an optimal level of digital security. Increasing transparency and information sharing, promoting co-operation (including at the international level), and ensuring the duty of care of supply-side actors (e.g. through the principles of security-by-design, security-by-default and responsible end-of-life) are important avenues for policy action. Policy makers can leverage many tools to achieve these objectives, from public procurement, certification and multi-stakeholder partnerships, to labels and ex ante legal requirements.
  • 8-February-2021

    English

    Inclusive Growth Review of Korea - Creating Opportunities for All

    In recent years Korea has stepped up efforts to reduce inequalities in recognition that a fairer economic model is also the most sustainable one. In order to support this new policy direction, the OECD has carried out novel analysis of inclusive growth building on its Framework for Policy Action, developed by the OECD to improve the prospects of the groups left behind. The Inclusive Growth Review of Korea applies, for the first time, the Framework at the national level. Using a dashboard of indicators, the Framework presents policy recommendations to sustain and more equitably share the gains of economic growth by investing in people left behind, supporting business dynamism and inclusive labour markets, and building efficient and responsive governments. In addition, the Inclusive Growth Review of Korea finds that digitalisation risks to compound the disparities of Korean labour markets, and calls for renewed efforts to reduce the lack of opportunities for up- and re-skilling of the working-age population (Chapter 2). To improve the business environment, Korea should address the unbalanced growth across sectors and firm size and unequal distribution of productivity gains across population groups (Chapter 3).
  • 3-February-2021

    English

    The Digital Transformation of SMEs

    Despite potentially tremendous benefits, small and medium-sized enterprises (SMEs) lag in the digital transformation. Emerging technologies, as diverse as they are, offer a range of applications for them to improve performance and overcome the size-related limitations they face in doing business. However, SMEs must be better prepared, and stakes are high. SMEs make the most of the industrial fabric in many countries and regions, they create jobs (most jobs sometimes) and are the cement of inclusive and sustainable societies. The SME digital gap has increased inequalities among people, places and firms, and there are concerns that the benefits of the digital transformation could accrue to early adopters, further broadening these inequalities. Enabling SME digitalisation has become a top policy priority in OECD countries and beyond. The report looks at recent trends in SME digital uptake, including in the context of the COVID-19 crisis. It focuses on issues related to digital security, online platforms, blockchain ecosystems, and artificial intelligence. The report identifies opportunities, risks of not going digital, and barriers to adoption. It looks to concrete policy action taken worldwide to speed the SME transformation and raises a series of considerations to advance the SME digital policy agenda.
  • 27-January-2021

    English

    Measuring cloud services use by businesses

    Cloud computing infrastructures underpin an ever-increasing range of business tools, yet measures of cloud service adoption based on business ICT usage surveys give only a partial view of their diffusion. They do not reveal the intensity or volume of use by businesses, or the amount spent on cloud services. This paper assesses the extent to which insights on the use of commercial cloud services (i.e. services purchased from external providers) can be gleaned from economic and business statistics – in particular, from supply-use tables and the underlying business surveys. The paper examines the defining features of cloud services and their treatment in various statistical product classifications, before deriving estimates on the use of specific 'cloud-containing product classes' across businesses. A key finding is that efforts are needed to improve the availability of data that can be used to gain robust insights on business use of cloud services.
  • 19-janvier-2021

    Français

    Dynamiques du développement en Afrique 2021 - Transformation digitale et qualité de l'emploi

    Dynamiques du développement en Afrique tire les leçons des expériences des cinq régions du continent – Afrique australe, centrale, de l'Est, du Nord et de l'Ouest – pour développer des recommandations en matière de politiques publiques et partager les bonnes pratiques. Étayé par les plus récentes statistiques, son décryptage des dynamiques de développement vise à permettre aux leaders africains de réaliser la vision stratégique de l’Agenda 2063 à tous les niveaux : continental, régional, national et local. L'édition 2021, dorénavant publiée en début d’année, explore le potentiel de la transformation digitale pour créer des emplois de qualité et réaliser l'Agenda 2063, en vue de renforcer la résilience des économies africaines face à la récession mondiale déclenchée par la pandémie de COVID-19. Le rapport cible quatre types d’action publique pour soutenir la transformation digitale de l'Afrique : réduire la fracture digitale ; soutenir l'innovation locale ; dynamiser les travailleurs indépendants ; et accélérer l'harmonisation, la mise en œuvre et le suivi des stratégies digitales. Cette édition comprend un nouveau chapitre examinant les perspectives de financement du développement de l'Afrique face à la crise économique mondiale de 2020. Dynamiques du développement en Afrique a pour vocation de nourrir le débat entre les membres de l’Union africaine, ainsi qu’avec les citoyens, entrepreneurs et chercheurs. Son ambition est de participer à une nouvelle coopération entre pays et entre régions, qui soit tournée vers l’apprentissage mutuel et la préservation de nos biens communs. Ce rapport est le fruit de la coopération entre la Commission de l’Union africaine et le Centre de développement de l’OCDE.
  • 18-January-2021

    English

    Scale, market power and competition in a digital world - Is bigger better?

    This report assesses the impact of digitalisation on competition by examining the evolution of mark-ups and multifactor productivity (MFP) across firms of different sizes. It finds that size is positively related to mark-ups and that this relationship has strengthened over time. This trend has been accompanied by an increase in the relative productivity advantage of larger firms and both changes are more pronounced in digital-intensive sectors, suggesting that digitalisation may be an underlying driver. Policy makers may need to consider appropriate responses if digital technologies affect larger and smaller firms in a heterogeneous manner.
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