In: Economics
Describe how the internet has been spreading around the world connecting countries at faster bandwidths and explain what sorts of things are being carried by it between countries.
The role of internet is immense in connecting countries
globally. With the help of internet and modern software's,
international communication and transaction becomes less expensive
and less time consuming.
The globalisation creates an environment of free flow of goods and
services, technology, capital and free movements of labor. The real
essence of globalization lies in the better bandwidths and proper
communication systems.
The internet constitutes around 25% of GDP in several mature
economy. The internet is a predominant factor in international
trade and capital flows. The buying and selling process, export and
import transactions, international capital flows are guided by well
developed global communication system via internet and related
services.The cross border consumption and supply, regulatory
transparency, economic accessibility made easy via global networks.
The internet openness enhance and broaden customer base via
e-commerce. The global internet openness make it possible to
deliver products and complete transactions, faster payments
etc.
The domestic and foreign investors benefited from internet
openness. They can transfer capital from anywhere with easy and
quick responses. The international banking sectors are influenced
by e-banking facilities. Thus we can summarise that, the higher
speed internet facilities that connects countries helps in
achieving economic prosperity.