Technology Gap Theory
Technology gap theory is a concept that originated in the early 2000s to explain why some countries experience rapid economic growth while others lag behind. The theory asserts that countries with large technological gaps—the difference in technology between the most and least advanced countries—are more likely to see slower or stagnant economic development than countries with smaller gaps. By closing these gaps, the theory claims, countries can experience more balanced economic growth, characterized by sustained and equitable increases in productivity, wages, and incomes.
The technology gap theory is closely linked to the concept of “technological convergence.” Technological convergence occurs when countries with different levels of technological advancement move toward a common level of technology. This enables them to benefit from developments such as new communication infrastructure and goods and services that are made possible through the use of advanced technology. It also helps ensure that countries receive equitable economic benefits from technological improvements. The technology gap theory claims that by focusing on closing the technological gap between countries, the worlds economies can become more closely linked and synchronized, which can lead to more equitable economic growth.
The technology gap theory also argues that countries with larger technology gaps are more likely to remain in poverty or experience slower economic growth than those with smaller gaps. This is because technological advancement levels the playing field between developed and developing nations, allowing the development of higher productivity levels and higher incomes. For example, the use of modern agricultural techniques, powered by improved technologies, can lead to higher crop yields and better incomes for rural farmers. Similarly, the introduction of new communication technology into a country can increase productivity, level the playing field between businesses, and create new economic opportunities.
The technology gap theory suggests that reducing the technology gap can lead to more balanced and equitable economic growth. By focusing on research and development and investing in technological innovation, countries can narrow the technological gap and leverage the benefits of technological advances. In addition, the gap theory argues that the global economy can become more closely intertwined, which can fuel economic growth, reduce poverty, and create jobs. As such, it is important for governments and businesses to invest in research and development in order to promote economic growth, reduce income inequality, and create equitable economic opportunities.
The technology gap theory is based on the idea that technology can be used to bring about economic growth and reduce poverty. Closing the technology gaps between countries can lead to increased levels of productivity, incomes, and wages, and help to level the playing field between developed and developing countries. By investing in research and development and encouraging technological innovation, countries can help to ensure that the economic benefits of technological advancements are shared across the world.
