1. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Factors and impacts in the information society: a prospective analysis in the candidate countries (FIIS) 2003 EU Tender No J04/04/2002

2. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Supervision and project leaders: European Commission Directorate General, Joint Research Centre (JRC) IPTS – Institute for Prospective Technological Studies (one of 7 JRC institutes) ICEG EC – International centre for Economic Growth, European Center Main mission of IPTS – to provide perspective analyses in support to the EU’s policy-making process

3. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Participants – consortium 13 NMC: Poland, the Czech Republic, Slovenia, Romania, Malta, Bulgaria, Slovakia, Hungary, Cyprus, Turkey, Lithuania, Latvia, Estonia; Latvia the Institute of Economics, Latvian Academy of Sciences, Raita Karnite, Kriss Karnitis, Maris Klava

4. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Prior to the project (in IPTS): Enlargement research cluster – Enlargement futures project - focuses on the main technological, economic, political and social drivers and their impact in the wider Union over a 10-year horizon Futures EU25+ (2002 – 2004) Specific area of analysis assigned to IS developments – ICT and Enlargement research cluster in IPTS/ICT Unit series of workshops and special report, assessing IST trends and impact assessment The “Bled” report on IS development in some candidate countries (2001) IPTS Baseline studies (2002) ESRO comparative EU-15 study “TIGERS”: impacts of factors on IST-related developments

5. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia General objectives To explore wide spectrum of issues to be addressed by the EU after enlargement, including: employment and industrial policies, training, research and innovation policies, regional and investment policies, as well as understanding risks of a complex digital divide (economic concentration, regional disparities, literacy, demography etc.)

6. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia The main objective of the project – to understand better dynamics towards the IS in the CC to assess trends in development and use of information and IST-related developments

7. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia The aim of the project: to give clear, contextualised, multicausual, multifactoral and comprehensive picture of: the relevant input factors which contribute to the success or failure of developments related to ICT in a given country, the relevant output parameters which support positive and negative assessment of mid-and long-term impacts on economic growth, employment, the welfare state, the environment etc.

8. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia During the project: Kick-off meeting, 2003, Sevilla, Spain Enlargement project – workshop on “New technology spin-off: a prospective analysis of productivity gains in Europe and US”, 2003, Seville, Spain Monograph workshop, 2003, Budapest International workshop on “Enlarging the European Information Society: Potential Strategies towards the Lisbon 2010 Objectives”, Sevilla, Spain

9. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Structure of the country monograph Background information about Latvia A. National and regional economy B. National and regional IS policies C. Industrial development and competitiveness, and its geography D. Presence of most relevant economic activities for IST applications E. IST penetration rates (time series on infrastructures, equipment, usage) F. Institutional capacities and regulatory background G. Educational sector (secondary and tertiary), labour force supply, training in IST related subjects H. National and regional demographic data and prospective I. Cultural and sociological data (including employment and consumption data)

10. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Research outputs 13 country monographs Statistical annex – about 90 data series for the time period 1990-2003 SWOT analysis in end of each chapter Diagnosis paper – multisectoral, multicausual analysis Alternative scenarios for the future Policy conclusions Synthesis Report – ICEG EC

11. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Research methodology in Latvia: demand and supply approach Demand side IS pays off if there are fields with high level of information intensity, in which efficient use of information raises overall efficiency. From this point of view economic structure is analysed.

12. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Supply side Two items are important: information (content) technical means and skills enabling communication and use of information From this point: qualification of labour force, education and human component (demographic situation, cultural habits) are analysed to understand at what level all involved are able to use information and ICT, development of infrastructure elements and conditions of use is analysed to understand access to relevant infrastructure. From the supply side also the role of the state was analysed.

13. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Conclusions Development of ICT, openness of Latvian society and economy makes development of IS a natural and unavoidable process The question is about the relation of IS-related part of the society to the whole society and about the impact of IS developments to the socio- economic development of Latvia The impact analysis is based on the demand – supply approach that helps to understand the need of IS and accessibility of its components

14. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Conclusions From the demand side:  the development of industries and services producing higher value added is essential for economic development of Latvia  emerging composition of Latvian economy shows that the importance of sectors using information as a resource or IT as a part of applied technology increases  financing of economy improves and better technologies are used in production and processes, including ICT  employers have sufficient skills for use of information and ICT  regional aspect is important – economic structure differs  development of ICT industry per se is neutral to the promotion of IS, development of IS promotes development of ICT industry  welfare level impacts development of IS but is not the main factor

15. Latvijas Zinātņu akadēmijas Ekonomikas institūts Latvia Conclusions From the supply side:  education provides skills for ICT use, less for development of ICT industry,  the institutional setting is favourable to development of ICT  legal background of IS is being created  access to infrastructure is not sufficient (prices, tariffs)  provision with information systems is improving (government services)  government policies that promote use of ICT improve (computerisation of public institutions)  contribution of EU funds will be significant  the society is open to use of ICT