As the world becomes more globalized and connected, the negative and positive impact of technology on the economy is evident. This article examines both sides of the coin, highlighting the positive impact of technology on the economy and the need for more control over the diffusion of technology. It also highlights the importance of managing the expenditure of technology. These issues are crucial to the future of the economy. Ultimately, these decisions will have far-reaching effects on the global economy.
Positive impact of technology on economy
The advancement of technology has contributed significantly to economic growth. Technological progress has made many processes easier and increased productivity. In fact, technological advances are crucial for economic growth. As such, it is important to develop new technologies and improve existing ones in order to ensure prosperity for all. The following are some of the ways in which technology contributes to economic growth. 1. Improves productivity: Technological advancements have reduced the time it takes to produce goods and services.
They also reduce costs.
Improved communication and transportation systems are key elements of globalization. These developments have helped to reduce the costs of national production and set standards for quality. The spread of new technology also helps individuals to communicate over long distances. As a result, technological advancements are contributing to income convergence in many developing countries. But the adoption of new technologies has not happened uniformly. This uneven penetration and distribution of technology are major challenges for low-income countries.
The technology economy affects the market economy. While the Dow Jones Industrial Average and S&P 500 once contained primarily industrial companies, today’s market is dominated by technology powerhouses. With a huge market capitalization, companies such as Apple can move the entire DJIA index with just a small hiccup in quarterly earnings. Therefore, the role of … Read More