Roger’s $0.02 - Curse of the Digital Nomad

Image courtesy of coworkingbansko

Digital nomadism is one of the more visible consequences of post-pandemic life. The combination of ubiquitous high-speed broadband, affordable airfares, digital economies, and remote work policies have allowed people to untether themselves from traditionally office-bound work and choose alternate living arrangements not dependent on how close you are to your place of employment. It’s a lifestyle growing in popularity. According to Think Remote in 2020 there were 10.9 million digital nomads. By the end of 2022, that number had grown to 35 million. But the benefits of digital nomadism often flow in one way and to the detriment of the local population.

Digital nomadism carries a somewhat romanticized view of itinerant living immortalized by American authors like Jack London and Jack Kerouac. A time in American history when men would move from worksite to worksite, living in temporary housing like flophouses, rooming houses, or residential hotels. Their tentative existence is marked by tales of wanderlust filled with strange and larger-than-life characters met on their journeys. But for those who are displaced by the cost of living increase brought about by the arrival of relatively wealthier foreigners, the story is much less sanguine. For them, digital nomads are a source of frustration and resentment.

The combination of travel alongside a lower cost of living makes being a digital nomad a seductive lifestyle. After all who wouldn’t want to travel while saving money at the same time? But wealth is relative. Places digital nomads typically move to are often lower-cost countries in Latin America, South East Asia, or the edges of Europe. What’s cheap and affordable to a digital nomad from the US or Western Europe might be expensive for the residents. While the municipal and national governments see the spending digital nomads bring to their economies as a net positive the local population can face rising prices for both goods and services. This is especially true for rental properties where landlords see digital nomads as an opportunity to raise rents to the detriment of the local renters or convert what used to be long-term rentals into Airbnb-style short-term rentals. In extreme cases, like in Portugal, the housing crisis caused by easy visitor visas and Airbnb has forced the national government to rethink its policies as citizens find themselves unable to afford housing. With many digital nomads coming from higher-income countries, they demand similar levels of service and amenities. This causes many of the communities that digital nomads end up in to gentrify. As outside businesses come in to cater to the needs of these relatively well-paid digital nomads it pushes out local businesses catering to the needs of the original community while also increasing real estate prices forcing members of the original community to sell and move.

Outside of cost issues are ones of cultural friction. The tentative nature of digital nomadism often manifests itself in a simplistic understanding of the culture they find themselves in placing the cost of living over any interest in nuances of local sensitives regarding behavior and social etiquette. This is often tied together with the concept of over-tourism where the needs of the newcomer, because they’re seen as wealthy, displace the concerns and needs of the locals. Some locals like in Bali, who have seen an increase in both digital nomads and tourists behaving badly, have begun issuing cards on behavior to arrivals at the airport.

But it's not all bad news with digital nomadism. Aware of the cultural boorishness many undertake when they bring rich country sensibilities to a more economically modest region bloggers have been taking to educating would-be nomads from being disrespectful guests. Ultimately the issues regarding digital nomadism are the same ones often talked about by any community, region, or people adversely affected by the flood of cashed-up folks ending up in their neighborhoods. There’s nothing inherently evil or wrong about being a digital nomad, but it's best to remember that being a guest, even an invited one, is about being mindful of manners, behavior, and sensitivities of the host.