Technical progress and policy supervision joint effort improves living standards
August 02, 2023 09:48 Source: "China Social Sciences" August 2, 2023 Total Issue 2704 Author: Zhao Qi/Compilation

If there is no supporting policy,Technical progress may not improve people's living standards,In some cases,It may even lead to the economic backward of a country。This is a professor at the Department of International Political Economics of Kennedy College of Harvard University、Dani Rodrik's recent research conclusion of Dani Rodrik。

For a long time,Western economists have always believed that productivity is the basis of national prosperity。The only way for a country to maintain a high level of economic growth is to produce more goods and services with less resources。Since the Industrial Revolution,The public has impressed the productive forces through technological innovation and finally realized economic prosperity.bet365 live casino games 。Dan Rodrik thinks,How to improve the productive for technological innovation is shaped by daily business experience,Companies using new technologies have higher productivity,so。but,A production society is different from a production enterprise,At the entire country level,There are many factors for improving the productivity of enterprises,Not only technology。Current,Many economists have not recognized this difference,Because they assume that technical progress will eventually benefit everyone。But as Daron Acemoglu and Simon Johnson mentioned in its new book,The industrial revolution has opened the period of modern economic growth,But in most of that period,It does not improve the living standard of most ordinary workers。New technologies may not improve everyone's living standards,Because it can only bring benefits to small parts of those participating technologies。Once encountering inappropriate systems and supervision,It also bet365 best casino games limits the bargaining ability of most people in economic development,or restricted outsiders to embrace new technologies。

After the 1990s,With the decline in trade costs and the expansion of manufacturing around the world,Enterprises in low -income and middle -income countries have also incorporated into the global supply chain,and adopted the most advanced production technology。Results,The productivity of these companies has made rapid progress,But the productivity of the company's country is stagnant,Even backstward。For example, Mexico,It used to be a typical representative of super globalization,Liberalization reform in the 1980s,After joining the North American Free Trade Agreement in the 1990s, the dual growth of manufacturing exports and foreign direct investment,But in recent years,Mexico is the same as other Latin American countries,Entering the negative growth period of full factor productivity。Economist thinks,Mexican bet365 Play online games manufacturing was forced to participate in global competition and global supply chain at that time,It has indeed improved the productive forces of some companies in Mexico,But there are still many companies with low productivity in China that failed to adapt to this rapid development and finally closed。It can be seen from this case,First,Large manufacturing enterprise,Especially regular enterprises,Due to technological innovation,Compressive employment requirements,The amount of labor that absorbs is getting smaller and smaller in the economy。Next,Small and informal enterprises that account for a majority share cannot adapt to the new situation in technical changes,Leading productivity atrophy。The end result is that the economic growth rate increased by large regular enterprises is offset by the poor performance of small and non -regular enterprises。At the same time,Lack of Labor and Social Insurance Laws and Regulations in Mexico,leading to the bet365 best casino games productivity dual -polarized mode。

No matter what the reason behind this,All show that the Mexican government's strategy of improving productivity is a failure。Whether it is added global value chain、Research and Development subsidies,Traditional policies formulated in the form of investment tax credits are aimed at wrong issues。In most cases,The most advanced enterprise never lacks technological innovation,Provide training and increase investment to smaller service -oriented enterprises,It can improve the national economic development more than improving the productivity of large enterprises。

In the new era of artificial intelligence,Large language models execute various tasks at a faster speed,Make people look forward to the significant growth of future productivity。but,The overall influence of this technology depends on how much its benefits can be spread in the entire economy。If those industries that account for economics,such as architecture、Face -to -face service、Relying bet365 Play online games on human creative work,Still unable to obtain the advantages brought by artificial intelligence,Then the productivity improvement effect driven by artificial intelligence may be greatly reduced。

Rodrik said,We don’t want to be a technology pessimist,But these cases did warn us not to equate productivity with technology、R & D and innovation。Transforming technological progress into a wide range of productivity growth,You need to formulate a special policy,to encourage extensive communication technology,and improve technical tolerance。

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