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The Weightless Economy in Economic Development

Author

Listed:
  • Quah, D.

Abstract

Can the increasing signicance of knowledge-products in national income- the growing weightless economy-infuence economic development? Those technologies reduce "distance" between consumers and knowledge production This paper analyzes a model embodying such a reduction. The model shows how demand-side attributes-consumer attitudes on complex goods; training, educa tion, and skills for consumption (rather than production)-can importantly affect patterns of economic growth and development. Evidence from the failed Industrial Revolution in 14th-century China illustrates the empirical relevance of the analysis.

Suggested Citation

  • Quah, D., 1999. "The Weightless Economy in Economic Development," Research Paper 155, World Institute for Development Economics Research.
    • Handle: RePEc:fth:wodeec:155
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    Cited by:

    1. Pierre Mohnen & Jacques Mairesse & Marcel Dagenais, 2006. "Innovativity: A comparison across seven European countries," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 15(4-5), pages 391-413.
    2. Cigan, Heidi, 2002. "The Internet's Contribution to Progress and Growth in Germany: The Economic Impact of the Internet and the Price Structure of Access," Report Series 26072, Hamburg Institute of International Economics.
    3. Sylvain Dejean, 2019. "The role of distance and social networks in the geography of crowdfunding: evidence from France," Working Papers hal-01645147, HAL.
    4. Oldenski, Lindsay, 2012. "Export Versus FDI and the Communication of Complex Information," Journal of International Economics, Elsevier, vol. 87(2), pages 312-322.
    5. Andrés Rodríguez-Pose & Riccardo Crescenzi, 2008. "Mountains in a flat world: why proximity still matters for the location of economic activity," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 1(3), pages 371-388.
    6. Brenner, M. Harvey, 2017. "Small networks, evolution of knowledge and species longevity: Theoretical integration and empirical test," Chaos, Solitons & Fractals, Elsevier, vol. 104(C), pages 314-322.
    7. Gern, Klaus-Jürgen & Gottschalk, Jan & Kamps, Christophe & Sander, Birgit & Scheide, Joachim & Strauß, Hubert, 2000. "Weltwirtschaft unter Volldampf," Open Access Publications from Kiel Institute for the World Economy 2499, Kiel Institute for the World Economy (IfW Kiel).
    8. Jan Fazlagić & Elżbieta Izabela Szczepankiewicz, 2020. "The Role of Local Governments in Supporting Creative Industries—A Conceptual Model," Sustainability, MDPI, vol. 12(1), pages 1-23, January.
    9. Humphreys, David, 2010. "The great metals boom: A retrospective," Resources Policy, Elsevier, vol. 35(1), pages 1-13, March.
    10. Caudillo Sanchez, Francisco, 2006. "Is information and communication technology (ICT) the right strategy for growth in Mexico?," Freiberg Working Papers 2006/17, TU Bergakademie Freiberg, Faculty of Economics and Business Administration.
    11. Dalgaard, Carl-Johan & Strulik, Holger, 2011. "Energy distribution and economic growth," Resource and Energy Economics, Elsevier, vol. 33(4), pages 782-797.
    12. Leonardo Becchetti & Fabrizio Adriani, 2005. "Does the digital divide matter? The role of information and communication technology in cross-country level and growth estimates," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 14(6), pages 435-453.
    13. Andrea Bigano & Aleksander Śniegocki & Jacopo Zotti, 2016. "Policies for a More Dematerialized EU Economy. Theoretical Underpinnings, Political Context and Expected Feasibility," Sustainability, MDPI, vol. 8(8), pages 1-22, July.
    14. Sandeep Kapur, 2002. "Developing Countries in the New Economy: The Role of Demand-side Initiatives," WIDER Working Paper Series DP2002-73, World Institute for Development Economic Research (UNU-WIDER).
    15. Andrés Rodríguez-Pose, 2007. "The Rise of the “City-region” Concept and its Development Policy Implications," European Planning Studies, Taylor & Francis Journals, vol. 16(8), pages 1025-1046, December.
    16. Wolfgang Keller & Stephen Ross Yeaple, 2013. "The Gravity of Knowledge," American Economic Review, American Economic Association, vol. 103(4), pages 1414-1444, June.
    17. Keller, Wolfgang, 2010. "International Trade, Foreign Direct Investment, and Technology Spillovers," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 2, chapter 0, pages 793-829, Elsevier.
    18. Sun, Bing & Yang, Xueting & Zhong, Shen & Tian, Shengnan & Liang, Tian, 2024. "How do technology convergence and expansibility affect information technology diffusion? Evidence from the internet of things technology in China," Technological Forecasting and Social Change, Elsevier, vol. 203(C).
    19. Cigan, Heidi, 2002. "The internet's contribution to progress and growth in Germany: The economic impact of the internet and the price structure of access," HWWA Reports 216, Hamburg Institute of International Economics (HWWA).
    20. Boglárka BARSI, 2025. "Adaptation of smart city model(s) in rural environment," Smart Cities and Regional Development (SCRD) Journal, Smart-EDU Hub, Faculty of Public Administration, National University of Political Studies & Public Administration, vol. 9(4), pages 35-51, november.
    21. Carlo MENON, 2014. "La propagation des grandes idées? L\'impact de l\'activité de brevet des firmes leader sur les inventeurs locaux," Cahiers du GREThA (2007-2019) 2014-11, Groupe de Recherche en Economie Théorique et Appliquée (GREThA).
    22. Frances Ruane & Ali Ugur, 2005. "Export Platform FDI and Dualistic Development," The Institute for International Integration Studies Discussion Paper Series iiisdp028, IIIS.

    More about this item

    Keywords

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    JEL classification:

    • N15 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - Asia including Middle East
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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