New Economy

From Reuters Financial Glossary

A term used to describe the fast-growing technology-oriented industries with global reach, mainly selling computers and software and involved in the internet, electronic commerce and telecommunications. A key example of the shift to the 'new economy' was the listing of high-tech companies Microsoft and Intel in the blue-chip Dow Jones 30 industrial index in 1999, replacing such labour-intensive 'old economy' institutions as tyre-maker Goodyear and retailer Sears.