This paper provides a nonmathematical introduction to the US economy's information processing ratio (R/C). This measure derived by Parker (2016-2019), was utilized to study the emergence of flash crashes, the evolution of the business cycle, and to provide an important new link connecting the branches of finance. In this short article R/C is intuitively introduced, its connection to the rise of the digital economy is explained, and its cyclical behavior and historical evolution are examined.

There is a small and growing literature that explores the impact of digitization in a variety of contexts, but its economic consequences, surprisingly, remain poorly understood. This volume aims to set the agenda for research in the economics of digitization, with each chapter identifying a promising area of research. "Economics of Digitization "identifies urgent topics with research already underway that warrant further exploration from economists. In addition to the growing importance of digitization itself, digital technologies have some features that suggest that many well-studied economic models may not apply and, indeed, so many aspects of the digital economy throw normal economics in a loop. "Economics of Digitization" will be one of the first to focus on the economic implications of digitization and to bring together leading scholars in the economics of digitization to explore emerging research.

The following work identifies a new source of quantifiable risk in financial applications. Traditional economic and financial theories tend to ignore the limits on information communication and computation with notable exceptions such as Sims(2010). This is in spite of the fact that the science of such limits is well understood. Information and information processing have been treated qualitatively as either perfect or imperfect with little effort to incorporate them in a precise and practical way. Over the years this omission has become even more egregious given the data driven and digitally dominated world in which the vast majority of financial activity takes place. In addition to building new theoretical foundations, practical applications of the theory to problems in finance are suggested in this work. In the first chapter the concept of the economy's information processing efficiency is intuitively introduced. The theory is expanded in Chapter 2 which explores the relationships between the arrival and processing rates of information at financial markets. This analysis is used to demonstrate mathematically how financial flash crashes can occur without large changes in the information arrival process. In chapter 3 the economy's information processing efficiency (R/C) is theoretically and empirically derived from a reformulation of the yield curve. The theory is also intuitively extended to explain in a new way the large-scale declines in the markets typically seen at the end of business cycles. The full evolution of the business cycle is described from the perspective of this new theory and measure in Chapter 4. The new measure is used in Chapter 5 to improve portfolio management over business cycles in conjunction with more traditional methods. The fractal structure of R/C is explored mathematically and explained metaphorically in Chapter 6. In the last chapter the theory elucidates a previously unknown and important connection between the disparate branches of finance and opens many new vistas for future research and real-world applications.

Looks at how the Internet is affecting businesses, education, and government, touching on the twelve themes of the new economy and privacy issues

The final section considers the political ramifications of information technology for critical societal debates ranging from privacy to intellectual property. The contributors to the book map out how the digital revolution shakes up politics, creating new economic and political winners and losers. In order to do so, they connect theories of political economy to the implications of digital technology for international as well as national markets.Attempts to construct a framework for analyzing the international digital era: one that examines the ability of political actors to innovate and experiment in spite of, or perhaps because of, the constraints posed by digital technology. This book examines the reaction of nations to the dual challenges of globalization and technological change.How do high wage countries stay rich in a global digital economy? "How Revolutionary was the Revolution" constructs a framework for analyzing the international digital era: one that examines the ability of political actors to innovate and experiment in spite of, or perhaps because of, the constraints posed by digital technology. In order to assess the revolutionary nature of the digital era, this book takes four overlapping approaches. First, it examines the reaction of nations, specifically Finland, Japan, and emerging markets, to the dual challenges of globalization and technological change. This section identifies both successful and failed national experiments intended to deal with these dual pressures. Second, it assesses corporate attempts to leverage digital technology to reorganize work. A broad range of issues including off-shoring, open source production systems, and knowledge management are addressed. Third, devoting detailed analysis to the case of mobile telephones, the book offers insights into the political economy of market evolution in the digital era.

Includes the most important issues, concepts, trends and technologies in the field of global information technology management, covering topics such as the technical platform for global IS applications, information systems projects spanning cultures, managing information technology in corporations, and global information technology systems and socioeconomic development in developing countries.