In contrast to the New Economy or Digital
Economy, the term Old Economy refers to the traditional part of the economy. Old Economy is mainly used for the industrial sectors with little affinity to the Internet. These are, for example, companies with a classic production focus such as in the chemical sector or mechanical engineering. The demarcation between Old and New Economy first took place in the late 1990s and early 2000s. The term old economy was often used pejoratively, while new economy companies received record valuations on the stock markets. The bursting of the first Internet bubble put this assessment into perspective.