I am seeking a deeper understanding on how the above topic point can help developing nations to fast catch up with developed nations in todays digitalized economy
In the time of digitalization, closed fiscal policy in developing countries can inact changes by adjusting government spending and taxation within national broaders. However,open fiscal policy can adapt and react flexibly to internal and external crisis,shocks and transformation.
Open fiscal policies help digitalization in developing nations by increasing public spending on digital infrastructure, education, and innovation. This fosters connectivity, skills development, and access to technology, enabling economic growth and inclusion. Restrictive fiscal policies may limit these advancements.
Open fiscal policy can help digitization. This is so because, for openness and access to be more effective, digital tools and platforms have to be deployed to ensure ease of access to information (for example) and limit human interactions which most times is the cause of bureaucracy and red-tapism in governance