Proposals for a digital industrial policy for Europe

Abstract

A digital industrial policy should take into account the new opportunities for industrial policy arising from digitalisation for tackling the sluggish economic growth performance in the Europe. The structural problems and potential market failures related to the adoption of digital technologies are identified. Apart from incentives to invest into digital infrastructure, the policy measures should strengthen the intangible asset base along the value added chain of the digital economy, fostering the related R&D activities, along with the skills of researchers and of workers. Public and private sector financing, combined through financial instruments, should focus on furthering entrepreneurship and implementation of innovative business plans.