Mina Yoon
The large disparities in income and social development between developed and developing countries are rooted in the considerable differences in their industrial development and use of technology, and the resulting gaps in their productivity. There are serious differences among developing countries as well, with some countries making great leaps forward and others appearing to be trapped in the low-income category. Countries with high levels of investment in physical capital instead of in technology run the risk of facing diminishing returns and slow growth. Ultimately, weak productivity growth in developing countries exacerbates poverty, energy deficiency and environmental debt, to name but a few significant implications. Conversely, investment in technology guarantees continuous productivity growth and potential for inclusive and sustainable industrial development.
