INFORMATION AND COMMUNICATION TECHNOLOGY JS 3

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Chapter 4 – Digital Divide

The New Economy

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THE NEW ECONOMY

Another concept that is often talked about with regards to the digital divide is the “new economy.” The new economy is also known as the Digital Economy. The new economy is the result of the transition from a manufacturing-based economy (old economy) to a service-based economy. In this economy, productivity is characterized by services such as e-commerce and technology such as computers. The new economy is driven by three major forces: knowledge, change and globalization.

Features of the New Economy
The features of the new economy are as follows:

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