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Policy in a New
Economic Order
Haydn Shaughnessy • Co-founder
The Disruption House
1
Growing Ecosystems
2
1991 2007
Open source lines of code added
How different is
the economy
now?
3
Green line - on trend global
trade in goods (2008 - 2013)
Blue line - on trend GDP
Red line - World import volume
(2000 - 2013)
Global imports in goods beyond 2015
Trade elasticity data suggests the global trade-GDP growth link is over
The growth of complex global supply
chains is stalled. Instead we are layering
services into existing economic activity.
A strange piece
of additional
data
4
Cross border Internet traffic
2008-2012 49% CAGR
Trade in goods 2.4%
For the most part leaves no monetary footprint
More hidden
value - social
affinity
5
Brand value v social affinity
The Rise of Integrated Business Platforms
More trade is gravitating towards
business platforms
Integrated procurement, e-billing and
receivables
With a payment layer
In some cases (Alibaba, Ariba) with a
lending layer
And soon with an FX layer
6
PUBLIC
PRIVATE
Challenge conventional commerce with more
contextual information, one stop shop, low unit
cost
The effect of
platforms
1.Highly efficient and highly
scalable at low friction
2.But - Apple owns 95% of the
profits in smartphones; c50% of
consumer electronics firms are
financially stressed
3.Amazon Local and Uber suck
margin out of local communities
and centralise wealth
4.Work becomes piece-work,
which creates ambiguity around
welfare
7
The common
pool resource
1.In the 1990s we began thinking
about shared IP under creative
commons
2.Today we need to think about
the ecosystem as a common
pool and to define its common
pool elements
8
Data is a
common pool
resource
In place of restriction on data we
need to foster systems that allow
common pool management
In place of negotiating with large,
centralised data platforms we need to
inform electorates about this
invaluable economic resource
9
Economic
imbalance
Platforms are invaluable but
so too are the ecosystems
around them
Can it be corrected by
diverting the value we
commonly create to different
forms of employment or
entrepreneurial crowd
platforms?
Better tax regimes for the
ecosystem not the platform
10
Ending
Make the hidden economic activity visible
Create metrics that highlight its value
Identify the contribution of the common pool
Distribute that value as opportunity
11

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Policy In A New Economic Order

  • 1. Policy in a New Economic Order Haydn Shaughnessy • Co-founder The Disruption House 1
  • 2. Growing Ecosystems 2 1991 2007 Open source lines of code added
  • 3. How different is the economy now? 3 Green line - on trend global trade in goods (2008 - 2013) Blue line - on trend GDP Red line - World import volume (2000 - 2013) Global imports in goods beyond 2015 Trade elasticity data suggests the global trade-GDP growth link is over The growth of complex global supply chains is stalled. Instead we are layering services into existing economic activity.
  • 4. A strange piece of additional data 4 Cross border Internet traffic 2008-2012 49% CAGR Trade in goods 2.4% For the most part leaves no monetary footprint
  • 5. More hidden value - social affinity 5 Brand value v social affinity
  • 6. The Rise of Integrated Business Platforms More trade is gravitating towards business platforms Integrated procurement, e-billing and receivables With a payment layer In some cases (Alibaba, Ariba) with a lending layer And soon with an FX layer 6 PUBLIC PRIVATE Challenge conventional commerce with more contextual information, one stop shop, low unit cost
  • 7. The effect of platforms 1.Highly efficient and highly scalable at low friction 2.But - Apple owns 95% of the profits in smartphones; c50% of consumer electronics firms are financially stressed 3.Amazon Local and Uber suck margin out of local communities and centralise wealth 4.Work becomes piece-work, which creates ambiguity around welfare 7
  • 8. The common pool resource 1.In the 1990s we began thinking about shared IP under creative commons 2.Today we need to think about the ecosystem as a common pool and to define its common pool elements 8
  • 9. Data is a common pool resource In place of restriction on data we need to foster systems that allow common pool management In place of negotiating with large, centralised data platforms we need to inform electorates about this invaluable economic resource 9
  • 10. Economic imbalance Platforms are invaluable but so too are the ecosystems around them Can it be corrected by diverting the value we commonly create to different forms of employment or entrepreneurial crowd platforms? Better tax regimes for the ecosystem not the platform 10
  • 11. Ending Make the hidden economic activity visible Create metrics that highlight its value Identify the contribution of the common pool Distribute that value as opportunity 11