This report examines key properties – or “vectors” – of the digital transformation that fundamentally affect the economy and society and accordingly the design and efficacy of public policies. It explores three main areas where digital transformation affects the ways the economy and society are operating, i.e.: a) scale, scope and speed; b) ownership, assets and economic value; and c) relationships, markets and ecosystems. Exposing the underlying nature of change, the seven vectors provide insights on how the transformation challenges policies that are frequently predicated on an analogue world of tangible products and assets, fixed geographic boundaries and physical locations, on transaction costs that limit the scale and scope of interactions and offerings, and on supply and demand conditions that reflect scarcity. The objective of this report is to support the review of existing and the design of new policies to ensure that they are well‑suited to the digital era.