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Ai Integration And Digital Regulation: Impacts On Global Trade In Digital Services

Author

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  • M. Srividhya

    (Centre for Economic and Social Studies (CESS), Hyderabad, India)

  • Ravi Kiran Reddi

    (Indian Institute of Technology, Hyderabad. India)

Abstract

This study investigates the impact of AI readiness and digital laws on Digitally Deliverable Services (DDS) exports, utilizing a comprehensive dataset that includes developed and developing economies, as well as various global regions. The analysis reveals that AI readiness significantly enhances DDS exports across both developed and developing countries, with notable regional variations. Higher gross national income per capita and larger population sizes are consistently positive factors, while the effects of ITA membership and digital laws, such as cybercrime and consumer protection regulations, vary by region. These findings underscore the importance of tailored policy interventions to enhance DDS exports, considering the unique economic and regulatory contexts of different regions.

Suggested Citation

  • M. Srividhya & Ravi Kiran Reddi, 2025. "Ai Integration And Digital Regulation: Impacts On Global Trade In Digital Services," Bulletin of Monetary Economics and Banking, Bank Indonesia, vol. 28(Spesial I), pages 95-122, February.
    • Handle: RePEc:idn:journl:v:28:y:2025:i:spg:p:95-122
    DOI: https://doi.org/10.59091/2460-9196.2483
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • K2 - Law and Economics - - Regulation and Business Law
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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