Effects Of Cybercrime

Improved Essays
Cybercrime has bad influences in Growth of Internet Economy
Human development has resulted in the creation and development of technology for various reasons such as economic and social uses. The internet technology is one of the developments that has become so popular in the global society. Computers have made internet economy possible as multiple business activities were shifted online. Unfortunately, the growth of the internet brought about the evil of cybercrime that develops almost at a similar rate with internet technology. Cybercrime refers to the criminal activities that are perpetrated through the internet. It impacts the internet economy. damages competitiveness, trade, innovation, and overall economic growth.
…show more content…
In this case, the latter refers to the businesses or trade carried out over the internet. Cybercrime affects the free flow of the online companies by hacking systems. It may be in the form of slowing down or denying an individual’s access to the internet, which affects the performance of the internet economy due to lack of transactions for a particular number of people and organizations. In fact, it is estimated that cybercrime causes about $400 billion losses annually (Center for Strategic and International Studies, 2013). It has been noted that cybercriminals thrive in their trade by ceasing the opportunity arising from the rising number of internet users and low barriers to market entry. The high demand for internet use has resulted in increased use of individual mobile phones and tablets that are less protected and provide the criminals with an easy target. Economically, the growth of the economy is developed through active participation of all the market participants, and with some of them having hacked devices, they are unable to contribute to the economy slowing its growth (Barton et al., 2013). Additionally, organizations that have their information stolen are unable to operate optimally and thus have reduced earnings that reduces the growth of the internet economy. One example of the cyber-attack is the Dyn attack that resulted in a short-term shutdown of websites stooping business and thus slowing the growth …show more content…
This issue is the most notable on developed countries where work is shifted away from those jobs that bring about most value. Firstly, with the increasing impact on GDP, many jobs are lost. In the United States of America alone, approximately 1% (200,000) jobs are lost each year due to cybercrime. Most of these jobs lost are in the internet-based industries which in return affects the internet economy. When jobs are lost, the growth of the economy slows down. What is more, job loss results to increased cybercrimes. Secondly, cybercrime results to shifting of the job from those that pay well to those that are low-paying (McAfee, 2014). Workers who are displaced from their jobs because of cybercrime are the primary victims. Shifting from high-paying jobs to low-paying jobs means that economic development decreases. Overall, the impact on the internet economy is mostly in form of reduced growth

Related Documents

  • Great Essays

    The Great Recession is a time of economic decline observed in world markets during the early 2000s. It is a period of declining aggregate output in the economy. The majority of consumers not only in America, but also in most Western nations and many other areas of the world have been impacted by the Recession, 86% of the US and almost 55% of Europe. Business cycles affect all of us in immediate and important ways. For example, when output is rising it is easier to find a good job, but when output is falling, finding a good job might be difficult.…

    • 1857 Words
    • 8 Pages
    Great Essays
  • Improved Essays

    The lack of employees has produced an initial increase in monetary savings but the prolonged effects of not having adequate employees will yield a large decrease in the revenues over an extended period Fd gqert q4tq gqert notice a lack of employees manning the store. If you have a question about a product good luck trying to hunt someone down to assist you with your inqucdtrt;qwerkqwe’r233343240234l’iry. Often times you will feel as if you are the only one in the store. This is due to the fact that TheStore has trimmed the company employees down below an acceptable level for conducting normal business operations. The lack of employees has produced an initial increase in monetary savings but the prolonged effects of not having adequate employees will yield a large decrease in the revenues over an extended period Fd gqert q4tq gqert notice a lack of employees manning the store.…

    • 52230 Words
    • 209 Pages
    Improved Essays
  • Superior Essays

    In the trough phase, it becomes very difficult for borrowers to pay off their arrears. As a result, the rate of interest decreases and banks don’t prefer to loan the money. Apart from this, a level of the financial output of a business turns out to be lower and unemployment turns out to be high. In this stage, numerous weak businesses leave the industry or rather dissolve. At this point, the business economy reaches to the most minimal level of shrinking.…

    • 805 Words
    • 4 Pages
    Superior Essays
  • Improved Essays

    According to smartphones and tablet at this moment allow users easily connect online. The users spend too much time on internet which can affect their daily life. This habit can cause internet addiction which is a massive…

    • 1471 Words
    • 6 Pages
    Improved Essays
  • Improved Essays

    Brick And Mortar Essay

    • 817 Words
    • 4 Pages

    That level of credibly is hard to establish for an exclusively online retailer. Ultimately, the increase in internet speed and decreased prices of computers, combined with the privacy of shopping from home electronic commerce is going to continue to grow. As well as the introduction of electronic commerce caused Brick and Mortar stores to develop successful internet sales practices, or remain the same and risk the chances of becoming obsolete. It is ultimately the choice of a business owner to analyze the market and decided if the transition will beneficial or…

    • 817 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Because of the negative effects that cyberbullying creates, it has become a largely debated issue whether an individual’s actions online should be prosecuted. Some would say this argument is outrageous. However, actions online should be prosecuted because of how common cyberbullying is, the terrorizing effects on victims, the increased amount of cyberbullying not being taken seriously, and how the effects are being multiplied by the web. In the first place, cyberbullying has become very common and can have destructive effects on the person being attacked. Bullies online…

    • 981 Words
    • 4 Pages
    Improved Essays
  • Great Essays

    Hacktivism Analysis

    • 1372 Words
    • 6 Pages

    Emile Durkheim 's theory which implies that crime serves a function in society. Crime is a very potent way to bring in acts of social change. Which is why hacktivism is such a big part of the computer hacking realm. Most computer hacking attacks are the cause of the governmental secrecy and human rights violation involving people from all over the world inside and outside of the interwebs. When a collective of society challenges the social norms by committing crime,such as these hacktivism groups.…

    • 1372 Words
    • 6 Pages
    Great Essays
  • Improved Essays

    Impacts Of Unemployment

    • 834 Words
    • 4 Pages

    When people are unemployed in large numbers, it hurts the rest of the economy, creating a cyclical problem (Spending). When people have less money to spend because of unemployment, other companies suffer from less consumer demand. Then, when companies suffer because of lost business, they might in turn be forced to make layoffs of their own, making the unemployment rate rise and overall spending drop even more (Spending). The cyclical effect of unemployment is the reason for government-issued economic stimulus packages. Logic suggests that when people have more money, they spend it, thereby stimulating the economy and simulating job growth…

    • 834 Words
    • 4 Pages
    Improved Essays
  • Superior Essays

    When a country is going through a recession, business and companies stop making money, and might have to cut down on labor costs. When this happens people are out in the job market. In addition, unemployment compensation is another major cause of unemployment because it can make the people receiving unemployment wages too lazy and comfortable that they stop searching for jobs. The money they get from unemployment benefits might fulfill their day to day needs, that way they stop looking for jobs (Lawrence, 2014). Among the mentioned causes of unemployment, racial discrimination, employee values, job dissatisfaction are also factors that can cause of unemployment in the United…

    • 1564 Words
    • 7 Pages
    Superior Essays
  • Improved Essays

    For instance, studies indicate that British companies have lost billions of dollars in productivity since most of the workers are addicted to social media (Parrack). Finally, social media can impact the health of individuals negatively. It is believed that the less the person moves, the more the weight the person accumulates. Indeed, few calories are burned while seated in front of a computer the whole day networking. Additionally, the computers and other devices have been associated with causing eye problems that make people to strain and thus leading to eyesight issues (Ghulam 9).…

    • 1406 Words
    • 6 Pages
    Improved Essays