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

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  • Stephen Kosempel

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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Bibliographic 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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Cited by:
  1. Das, Gouranga, 2010. "Globalization, socio-institutional factors and North–South knowledge diffusion: Role of India and China as Southern growth progenitors," MPRA Paper 37252, University Library of Munich, Germany, revised 01 Aug 2011.
  2. Das, Gouranga G., 2014. "What Role for 'Learning'? A North-South Tale of Enrichment Effect∗," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(1), pages 67-85, March.
  3. Das, Gouranga, 2009. "How does trade-mediated technology transfer affect interregional and intersectoral competition? Exploring multi-sectoral effects in a global trade model," MPRA Paper 37256, University Library of Munich, Germany, revised 01 Jun 2010.

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