IDEAS home Printed from https://ideas.repec.org/a/bla/asiaec/v38y2024i3p289-340.html
   My bibliography  Save this article

Tech wars: Distributional consequences of global tech rivalry

Author

Listed:
  • Rod Tyers
  • Yixiao Zhou

Abstract

International competition over sophisticated tech is a modern feature of great power rivalry. Yet the automation delivered by this tech is a key source of rising inequality. While policy motivations stem primarily from great power political and defense competition, the automation has consequences for wider economic performance. We examine global economic consequences, using a six‐region global macro model with multiple households, under Rawlsian, Benthamite, capital friendly, or GDP maximizing policy criteria. Tech drives are shown to deliver higher capital returns and more growth, and therefore to represent dominant strategies under all but a Rawlsian criterion, despite their exacerbation of inequality and low‐skilled poverty. We then consider Gini‐reducing fiscal interventions. These are shown to have few international spill‐over effects and to be domestically attractive only under the Rawlsian criterion.

Suggested Citation

  • Rod Tyers & Yixiao Zhou, 2024. "Tech wars: Distributional consequences of global tech rivalry," Asian Economic Journal, East Asian Economic Association, vol. 38(3), pages 289-340, September.
    • Handle: RePEc:bla:asiaec:v:38:y:2024:i:3:p:289-340
    DOI: 10.1111/asej.12335
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/asej.12335
    Download Restriction: no
    File URL: https://libkey.io/10.1111/asej.12335?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:asiaec:v:38:y:2024:i:3:p:289-340. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/eaeaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.