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Interaction between knowledge and technology: a contribution to the theory of development

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Author Info
Stephen Kosempel

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Abstract

This article attempts to explain the large and persistent disparities in levels of output per worker across countries. It is argued that an explanation for these disparities requires an understanding of the relationship between knowledge and technology. The model that is constructed can be summarized as an open-economy version of the Solow-Swan growth model, in which technological change is investment specific, and knowledge about new technologies is embodied in labour. In the model, income differences arise because poor countries lack the knowledge to implement foreign technologies productively. Furthermore, these disparities persist when countries differ in their ability to learn.

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File URL: http://economics.ca/cgi/xms?jab=v40n4/CJEv40n4p1237.pdf
File Format: application/pdf
File Function: Full text
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Publisher Info
Article provided by Canadian Economics Association in its journal Canadian Journal of Economics.

Volume (Year): 40 (2007)
Issue (Month): 4 (November)
Pages: 1237-1260
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Handle: RePEc:cje:issued:v:40:y:2007:i:4:p:1237-1260

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Find related papers by JEL classification:
F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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This page was last updated on 2009-12-21.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.