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The International Diffusion of Technology: Technological Catch-up and Economic Growth

In: Creating an Internationally Competitive Economy

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  • Mark Rogers

Abstract

Do countries that are better at absorbing technology from overseas experience faster economic growth? This question is associated with the idea of ‘technological catch-up’, which states that countries facing a technology gap with the world’s best practice have the opportunity to grow faster. The existence of a technology gap is a necessary but not sufficient condition for the process of technological catch-up. A country must have sufficient ‘absorptive capability’ – defined as the capability to learn, absorb and implement relevant overseas technology to the benefit of the domestic economy. The concepts of the ‘technology gap’ and‘absorptive capability’ are therefore central to understanding the process of technology diffusion and economic growth. Both concepts are difficult to define and measure, but they are the key to understanding the link between diffusion and economic growth.

Suggested Citation

  • Mark Rogers, 2001. "The International Diffusion of Technology: Technological Catch-up and Economic Growth," Palgrave Macmillan Books, in: Harry Bloch & Peter Kenyon (ed.), Creating an Internationally Competitive Economy, chapter 12, pages 207-232, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-55706-2_12
    DOI: 10.1057/9780230557062_12
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    Cited by:

    1. Mark Rogers, 2003. "A Survey of Economic Growth," The Economic Record, The Economic Society of Australia, vol. 79(244), pages 112-135, March.

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