If Technology Has Arrived Everywhere, Why Has Income Diverged?
AbstractIf Technology Has Arrived Everywhere, Why Has Income Diverged? We study the lags with which new technologies are adopted across countries, and their long-run penetration rates once they are adopted. Using data from the last two centuries, we document two new facts: there has been convergence in adoption lags between rich and poor countries, while there has been divergence in penetration rates. Using a model of adoption and growth, we show that these changes in the pattern of technology diffusion account for 80% of the Great Income Divergence between rich and poor countries since 1820.
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Bibliographic InfoPaper provided by Toulouse School of Economics (TSE) in its series TSE Working Papers with number 13-409.
Date of creation: May 2013
Date of revision:
Other versions of this item:
- Diego Comin & Mestieri, 2013. "If Technology Has Arrived Everywhere, Why Has Income Diverged?," INET Research Notes 26, Institute for New Economic Thinking (INET).
- Diego A. Comin & Martí Mestieri Ferrer, 2013. "If Technology Has Arrived Everywhere, Why has Income Diverged?," NBER Working Papers 19010, National Bureau of Economic Research, Inc.
- Comin, Diego & Mestieri, Martí, 2013. "If Technology Has Arrived Everywhere, Why Has Income Diverged?," CEPR Discussion Papers 9466, C.E.P.R. Discussion Papers.
- E13 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Neoclassical
- O14 - Economic Development, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
- O33 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
- O41 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-06-04 (All new papers)
- NEP-ICT-2013-06-04 (Information & Communication Technologies)
- NEP-MAC-2013-06-04 (Macroeconomics)
- NEP-PBE-2013-06-04 (Public Economics)
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Blog mentionsAs found by EconAcademics.org, the blog aggregator for Economics research:
- Income divergence in the face of faster technology adoption
by Economic Logician in Economic Logic on 2013-06-27 14:14:00
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