Issues Study - Economy

With the creation of the internet, over 1.2 million jobs have been created and more than 300 billion dollars has been streamed into the economy. With the rapid growth of the internet, there has also been a rapid increase of much activity in the economy, you could say the internet has drastically changed the world. Not only are jobs created it also give company and completely different manner in which transaction can be made, for example soft goods and material goods (such as furniture) can be purchased with the click of a button. With the internet also comes a massive space for advertising for these companies to showcase much of what they have to offer which makes the internet a massive ad banner, as most would know and see. Any website which you access either have advertisement whether it’s a search engine, multimedia website or a chat-room there is advertising sprawled over the internet.

While the internet didn't use to be advanced as it is today with different technology like Personalized retargeting, the internet use to be very basic information which was sent over dedicated communication circuits information could only travel in data packets no larger than 200 bytes and send them over a single line. But as things have progressed date packet sizes have increases to over 100 times of which they use to be. With the access of the internet advancing many things have change for example access pricing for the internet, today the most convenient and common user access pricing is flat fee pricing which is when the user pays a fixed price to gain access to the network for a month. But with this method of pricing many issues have followed for instance this flat price cannot discriminate between 'high' and 'low' bandwidth users. This leads on to create many problems in which some are not receiving the optimal value of the service. Many other methods of pricing have been discussed one heavily discussed idea of internet pricing is attaching a live bid to each internet pack before they submit to the network. In other words users would have to pay for their upload and download packet size. This would help network congestion constraints and allow 'high' traffic users to be separate to those 'low' traffic user which would intern increase both users’ online experiences.

Another very much discussed issue which has a deep relation with the economy is the pricing of goods and different services on the internet. Theoretical with the minimized costs of transactions and store management the cost pricing for goods would be much lower than but as this is business online firms and corporations more or less tweaked prices of their goods to be closer to their counter-parts which sell their goods offline. But to summarize with implementation of internet into today’s world there has been a major growth in economic but not only the economy but also aggregate demand of consumers which ensure the positive economic spike from the internet with continue to grow.