The New Software Exporting Nations: Impacts on National Well Being Resulting From Their Software Exporting Industries

Abstract

“New software exporting nations” are those dozens of nations that have begun exporting software products and services in recent years. Much has been written about the remarkable success of India and there is excitement regarding the promise for other developing, emerging, and transition economies. We examine the impact on the broader national economies of a software export sector. Economic and social impacts include: impact on labor, impact on new organizational forms, stimulation of infrastructure and other industries, economic impacts, and political impacts. Governments intervene to stimulate the software exporting industry because they recognize that there is a potential for spillovers; and that domestic markets do not create sufficient stimulus.