Analysis of the digital platform economy around the world: A network DEA model for identifying policy priorities

Abstract

This study evaluates the quality of the digital platform economy at the global scale by employing a network model rooted in nonparametric linear techniques (data envelopment analysis) on a sample of 116 countries for 2019. The proposed model is in accordance with the geographic diversity (country heterogeneity) and the multilayered structure characterizing the interactions between system participants: governments, digital platforms, platform-dependent firms, and end users. The core findings indicate that the configuration of countries’ platform economy is very heterogeneous, which suggests that an informed, tailor-made approach to policy might produce more effective outcomes. Policies aimed at enhancing the digital platform economy should emerge from the analysis of its main factors if the development of a strategy seeking qualitative improvements in the system is the desired goal.