Study On The Influence Of Currency Internationalization On The Competitiveness Of Digital Service Trade

In recent years,the world has stepped into a new stage of rapid development of digital economy.The combination of service industry and digital economy is the general trend of the transformation of service trade.At the end of 2019,the sudden outbreak of COVID-19 accelerated the development of the service industry towards the direction of digitalization.While giving birth to many new forms of business,it also brought major challenges to the development of China’s foreign trade and increased the uncertainty of trade.As the payment medium of international trade,the international development level of currency can promote the development of trade to a certain extent and play an important role in reducing the uncertainty of trade.Based on this,it is of great significance to study the relationship between currency internationalization and the competitiveness of digital service trade,which provides a new development path and policy suggestions for China’s digital service trade competitiveness,and provides a new reference for accelerating the new impetus of trade innovation and development.Based on the daily exchange rate data and digital service export data of 20 major countries in the world from 2006 to 2020,this thesis uses social network analysis and wavelet transform to construct an exchange rate network.The currency internationalization is measured by the network characteristic index--Page Rank centrality,and the relationship between a country’s currency internationalization and its competitiveness in digital service trade is explored.It is found that the currency internationalization of a country can significantly promote the competitiveness of digital service trade.In terms of the level of economic development,the currency internationalization of developing countries has a more significant positive impact on the competitiveness of digital service trade.According to the fractional exchange rate system,under the managed floating exchange rate system,a country’s currency internationalization is more conducive to promoting the competitiveness of the country’s digital service trade.Each country should,according to the actual situation,take targeted policy measures to improve its own competitiveness in digital service trade.