This month we've seen a sharp increase in the number of government-ordered Internet shutdowns, most of which have affected Algeria and Iraq.
As we reported in April, these shutdowns were expected as part of several country's strategies to 'curb cheating' during their national curriculum exams. However, this not only impacts students but also millions of other people, resulting in public outrage as essential social, political, economic, and cultural activities and online services come to a complete standstill.
Measuring the economic impact of these shutdowns has been a challenge outside of personal accounts. Until now.
The Internet Society Pulse NetLoss calculator is a new feature on the Pulse platform which provides a rigorous and multifaceted estimate of the economic outcomes of Internet shutdowns.
Unlike other economic impact measuring tools, the NetLoss calculator uses a reproducible, econometric framework to consider a wider range of socioeconomic data inputs including Gross Domestic Product (GDP), employment, and Foreign Direct Investment (FDI).
As an example, the NetLoss calculator estimated the recent shutdown in Pakistan (9-12 May) cost the country more than USD 17 million in lost GDP as well as increased unemployment and future risk of Internet shutdowns.
