IDEAS home Printed from https://ideas.repec.org/a/sae/reorpe/v50y2018i1p136-153.html
   My bibliography  Save this article

Technology and Economic Development: The Schumpeterian Legacy

Author

Listed:
  • Rinaldo Evangelista

Abstract

The main argument put forward in the paper is that the recent neo-Schumpeterian literature, while providing fundamental contributions to our understanding of innovation, has contributed to the emergence of an optimistic reading of the relationship between technology, economy, and society, with technology able to guarantee strong economic growth and social welfare. It is also argued that such an “optimistic bias†has been associated with a dominant supply-side and micro-based view of the technology–economy relationships. JEL Classification: B52; O10; O30

Suggested Citation

  • Rinaldo Evangelista, 2018. "Technology and Economic Development: The Schumpeterian Legacy," Review of Radical Political Economics, Union for Radical Political Economics, vol. 50(1), pages 136-153, March.
    • Handle: RePEc:sae:reorpe:v:50:y:2018:i:1:p:136-153
    DOI: 10.1177/0486613416666565
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/0486613416666565
    Download Restriction: no
    File URL: https://libkey.io/10.1177/0486613416666565?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Guido Buenstorf & Uwe Cantner & Horst Hanusch & Michael Hutter & Hans-Walter Lorenz & Fritz Rahmeyer (ed.), 2013. "The Two Sides of Innovation," Economic Complexity and Evolution, Springer, edition 127, number 978-3-319-01496-8, December.
    2. Giovanni Dosi & Mauro Sodini & Maria Virgillito, 2015. "Profit-driven and demand-driven investment growth and fluctuations in different accumulation regimes," Journal of Evolutionary Economics, Springer, vol. 25(4), pages 707-728, September.
    3. Jerry Courvisanos, 2012. "Cycles, Crises and Innovation," Books, Edward Elgar Publishing, number 12929.
    4. Fagerberg, Jan & Verspagen, Bart, 2009. "Innovation studies--The emerging structure of a new scientific field," Research Policy, Elsevier, vol. 38(2), pages 218-233, March.
    5. Komlos John, 2016. "Has Creative Destruction become more Destructive?," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 16(4), pages 1-12, October.
    6. Aghion, Philippe & Howitt, Peter, 1992. "A Model of Growth through Creative Destruction," Econometrica, Econometric Society, vol. 60(2), pages 323-351, March.
    7. Fagerberg, Jan & Srholec, Martin & Knell, Mark, 2007. "The Competitiveness of Nations: Why Some Countries Prosper While Others Fall Behind," World Development, Elsevier, vol. 35(10), pages 1595-1620, October.
    8. Paul A. David & Gavin Wright, "undated". "General Purpose Technologies and Surges in Productivity: Historical Reflections on the Future of the ICT Revolution," Working Papers 99026, Stanford University, Department of Economics.
    9. J. Stan Metcalfe & John Foster & Ronnie Ramlogan, 2006. "Adaptive economic growth," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 30(1), pages 7-32, January.
    10. Christian Schubert, 2013. "Is Novelty Always a Good Thing? Towards an Evolutionary Welfare Economics," Economic Complexity and Evolution, in: Guido Buenstorf & Uwe Cantner & Horst Hanusch & Michael Hutter & Hans-Walter Lorenz & Fritz Rahmeyer (ed.), The Two Sides of Innovation, edition 127, pages 209-242, Springer.
    11. repec:bla:kyklos:v:22:y:1969:i:2:p:334-47 is not listed on IDEAS
    12. Fagerberg, Jan, 1994. "Technology and International Differences in Growth Rates," Journal of Economic Literature, American Economic Association, vol. 32(3), pages 1147-1175, September.
    13. Christian Schubert, 2013. "How to evaluate creative destruction: reconstructing Schumpeter's approach," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 37(2), pages 227-250.
    14. Pier Paolo Saviotti & Andreas Pyka, 2013. "The co-evolution of innovation, demand and growth," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 22(5), pages 461-482, July.
    15. Marco Vivarelli, 2013. "Technology, Employment and Skills: An Interpretative Framework," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 3(1), pages 66-89, June.
    16. Kenneth Arrow, 1962. "Economic Welfare and the Allocation of Resources for Invention," NBER Chapters, in: The Rate and Direction of Inventive Activity: Economic and Social Factors, pages 609-626, National Bureau of Economic Research, Inc.
    17. Deepankar Basu & Ramaa Vasudevan, 2013. "Technology, distribution and the rate of profit in the US economy: understanding the current crisis," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 37(1), pages 57-89.
    18. Dosi, Giovanni & Fagiolo, Giorgio & Roventini, Andrea, 2010. "Schumpeter meeting Keynes: A policy-friendly model of endogenous growth and business cycles," Journal of Economic Dynamics and Control, Elsevier, vol. 34(9), pages 1748-1767, September.
    19. Mowery, David & Rosenberg, Nathan, 1993. "The influence of market demand upon innovation: A critical review of some recent empirical studies," Research Policy, Elsevier, vol. 22(2), pages 107-108, April.
    20. Guido Buenstorf & Uwe Cantner & Horst Hanusch & Michael Hutter & Hans-Walter Lorenz & Fritz Rahmeyer, 2013. "Editorial: The Two Sides of Innovation," Economic Complexity and Evolution, in: Guido Buenstorf & Uwe Cantner & Horst Hanusch & Michael Hutter & Hans-Walter Lorenz & Fritz Rahmeyer (ed.), The Two Sides of Innovation, edition 127, pages 1-7, Springer.
    21. Tony Smith, 2010. "Technological change in Capitalism: some Marxian themes," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 34(1), pages 203-212, January.
    22. Witt, Ulrich, 2013. "Competition As An Ambiguous Discovery Procedure: A Reappraisal Of F. A. Hayek'S Epistemic Market Liberalism," Economics and Philosophy, Cambridge University Press, vol. 29(1), pages 121-138, March.
    23. Winter, Sidney G., 2014. "The future of evolutionary economics: can we break out of the beachhead?," Journal of Institutional Economics, Cambridge University Press, vol. 10(4), pages 613-644, December.
    24. Fagerberg, Jan & Martin, Ben R. & Andersen, Esben Sloth (ed.), 2013. "Innovation Studies: Evolution and Future Challenges," OUP Catalogue, Oxford University Press, number 9780199686353.
    25. Dopfer,Kurt (ed.), 2005. "The Evolutionary Foundations of Economics," Cambridge Books, Cambridge University Press, number 9780521621991, September.
    26. Bronwyn H. Hall & Nathan Rosenberg (ed.), 2010. "Handbook of the Economics of Innovation," Handbook of the Economics of Innovation, Elsevier, edition 1, volume 1, number 1.
    27. Uwe Cantner & Jens Krüger, 2008. "Micro-heterogeneity and aggregate productivity development in the German manufacturing sector," Journal of Evolutionary Economics, Springer, vol. 18(2), pages 119-133, April.
    28. Courvisanos, Jerry, 2009. "Political aspects of innovation," Research Policy, Elsevier, vol. 38(7), pages 1117-1124, September.
    29. Jan Fagerberg, 2003. "Schumpeter and the revival of evolutionary economics: an appraisal of the literature," Journal of Evolutionary Economics, Springer, vol. 13(2), pages 125-159, April.
    30. Freeman, Chris & Louca, Francisco, 2002. "As Time Goes By: From the Industrial Revolutions to the Information Revolution," OUP Catalogue, Oxford University Press, number 9780199251056.
    31. Romer, Paul M, 1990. "Endogenous Technological Change," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 71-102, October.
    32. John Foster, 2011. "Evolutionary macroeconomics: a research agenda," Journal of Evolutionary Economics, Springer, vol. 21(1), pages 5-28, February.
    33. Freeman, Chris, 1995. "The 'National System of Innovation' in Historical Perspective," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 19(1), pages 5-24, February.
    34. Cohen, Wesley M., 2010. "Fifty Years of Empirical Studies of Innovative Activity and Performance," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 1, chapter 0, pages 129-213, Elsevier.
    35. Daniele Archibugi & Andrea Filippetti, 2011. "Is the Economic Crisis Impairing Convergence in Innovation Performance across Europe?," Journal of Common Market Studies, Wiley Blackwell, vol. 49(6), pages 1153-1182, November.
    36. Fagerberg, Jan & Fosaas, Morten & Sapprasert, Koson, 2012. "Innovation: Exploring the knowledge base," Research Policy, Elsevier, vol. 41(7), pages 1132-1153.
    37. Pier Paolo Saviotti & Andreas Pyka, 2009. "Product variety, competition and economic growth," Springer Books, in: Uwe Cantner & Jean-Luc Gaffard & Lionel Nesta (ed.), Schumpeterian Perspectives on Innovation, Competition and Growth, pages 71-95, Springer.
    38. Dosi,Giovanni & Galambos,Louis & Gambardella,Alfonso & Orsanigo,Luigi (ed.), 2013. "The Third Industrial Revolution in Global Business," Cambridge Books, Cambridge University Press, number 9781107028616, September.
    39. Giovanni Dosi & Giorgio Fagiolo & Andrea Roventini, 2006. "An Evolutionary Model of Endogenous Business Cycles," Computational Economics, Springer;Society for Computational Economics, vol. 27(1), pages 3-34, February.
    40. Uwe Cantner & Jens J. Krüger, 2006. "Micro-Heterogeneity and Aggregate Productivity Development in the German Manufacturing Sector - Results from a Decomposition Exercise," Jenaer Schriften zur Wirtschaftswissenschaft (Expired!) 02/2006, Friedrich-Schiller-Universität Jena, Wirtschaftswissenschaftliche Fakultät.
    41. Brian J. Loasby, 2001. "special issue: Cognition, imagination and institutions in demand creation," Journal of Evolutionary Economics, Springer, vol. 11(1), pages 7-21.
    42. Giovanni Dosi, 2000. "Sources, Procedures, and Microeconomic Effects of Innovation," Chapters, in: Innovation, Organization and Economic Dynamics, chapter 2, pages 63-114, Edward Elgar Publishing.
    43. Robert J. Gordon, 2012. "Is U.S. Economic Growth Over? Faltering Innovation Confronts the Six Headwinds," NBER Working Papers 18315, National Bureau of Economic Research, Inc.
    44. Dosi, Giovanni, 1993. "Technological paradigms and technological trajectories : A suggested interpretation of the determinants and directions of technical change," Research Policy, Elsevier, vol. 22(2), pages 102-103, April.
    45. Paul A. David & Gavin Wright, "undated". "General Purpose Technologies and Surges in Productivity: Historical Reflections on the Future of the ICT Revolution," Working Papers 99026, Stanford University, Department of Economics.
    46. Fulvio Castellacci, 2007. "Evolutionary And New Growth Theories. Are They Converging?," Journal of Economic Surveys, Wiley Blackwell, vol. 21(3), pages 585-627, July.
    47. C. Freeman, 2007. "A Schumpeterian Renaissance?," Chapters, in: Horst Hanusch & Andreas Pyka (ed.), Elgar Companion to Neo-Schumpeterian Economics, chapter 8, Edward Elgar Publishing.
    48. Kurz, Heinz D., 2008. "Innovations and profits: Schumpeter and the classical heritage," Journal of Economic Behavior & Organization, Elsevier, vol. 67(1), pages 263-278, July.
    49. Filippetti, Andrea & Archibugi, Daniele, 2011. "Innovation in times of crisis: National Systems of Innovation, structure, and demand," Research Policy, Elsevier, vol. 40(2), pages 179-192, March.
    50. Rinaldo Evangelista & Valeria Mastrostefano, 2006. "Firm size, sectors and countries as sources of variety in innovation," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 15(3), pages 247-270.
    51. F. A. Lutz, 1961. "The Theory of Capital," International Economic Association Series, Palgrave Macmillan, number 978-1-349-08452-4 edited by D. C. Hague, December.
    52. Esben Sloth Andersen, 2001. "special issue: Satiation in an evolutionary model of structural economic dynamics," Journal of Evolutionary Economics, Springer, vol. 11(1), pages 143-164.
    53. Bresnahan, Timothy, 2010. "General Purpose Technologies," 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 761-791, Elsevier.
    54. Rinaldo Evangelista & Paolo Guerrieri & Valentina Meliciani, 2014. "The economic impact of digital technologies in Europe," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 23(8), pages 802-824, November.
    55. Carlota Perez, 2002. "Technological Revolutions and Financial Capital," Books, Edward Elgar Publishing, number 2640.
    56. Carlota Perez, 2010. "Technological revolutions and techno-economic paradigms," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 34(1), pages 185-202, January.
    57. Rinaldo Evangelista, 1999. "Knowledge and Investment," Books, Edward Elgar Publishing, number 1402.
    58. Pier Saviotti & Andreas Pyka, 2004. "Economic development by the creation of new sectors," Journal of Evolutionary Economics, Springer, vol. 14(1), pages 1-35, January.
    59. Marco Vivarelli, 1995. "The Economics of Technology and Employment," Books, Edward Elgar Publishing, number 458.
    60. Ulrich Witt, 2001. "special issue: Learning to consume - A theory of wants and the growth of demand," Journal of Evolutionary Economics, Springer, vol. 11(1), pages 23-36.
    61. Paul M. Romer, 1994. "The Origins of Endogenous Growth," Journal of Economic Perspectives, American Economic Association, vol. 8(1), pages 3-22, Winter.
    62. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
    63. Nicholas Kaldor, 1961. "Capital Accumulation and Economic Growth," International Economic Association Series, in: D. C. Hague (ed.), The Theory of Capital, chapter 0, pages 177-222, Palgrave Macmillan.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rinaldo Evangelista, 2015. "Technology, development and economic crisis: the Schumpeterian legacy," Working Papers 23, Birkbeck Centre for Innovation Management Research, revised Jun 2015.
    2. Dosi, Giovanni & Nelson, Richard R., 2010. "Technical Change and Industrial Dynamics as Evolutionary Processes," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 1, chapter 0, pages 51-127, Elsevier.
    3. Mark Knell & Simone Vannuccini, 2022. "Tools and concepts for understanding disruptive technological change after Schumpeter," Jena Economics Research Papers 2022-005, Friedrich-Schiller-University Jena.
    4. Silva, Ester G. & Teixeira, Aurora A.C., 2008. "Surveying structural change: Seminal contributions and a bibliometric account," Structural Change and Economic Dynamics, Elsevier, vol. 19(4), pages 273-300, December.
    5. Giovanni Dosi & Richard Nelson, 2013. "The Evolution of Technologies: An Assessment of the State-of-the-Art," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 3(1), pages 3-46, June.
    6. Dosi, Giovanni & Roventini, Andrea & Russo, Emanuele, 2019. "Endogenous growth and global divergence in a multi-country agent-based model," Journal of Economic Dynamics and Control, Elsevier, vol. 101(C), pages 101-129.
    7. Castellacci, Fulvio & Grodal, Stine & Mendonca, Sandro & Wibe, Mona, 2005. "Advances and challenges in innovation studies," MPRA Paper 27519, University Library of Munich, Germany.
    8. Fulvio Castellacci, 2007. "Evolutionary And New Growth Theories. Are They Converging?," Journal of Economic Surveys, Wiley Blackwell, vol. 21(3), pages 585-627, July.
    9. Giovanni Dosi & Andrea Roventini, 2024. "Evolutionary Growth Theory," LEM Papers Series 2024/02, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    10. Fulvio Castellacci, 2007. "Technological regimes and sectoral differences in productivity growth ," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 16(6), pages 1105-1145, December.
    11. George Liagouras, 2017. "The challenge of Evo-Devo: implications for evolutionary economists," Journal of Evolutionary Economics, Springer, vol. 27(4), pages 795-823, September.
    12. repec:spo:wpmain:info:hdl:2441/46k9rkvut99i7qnn4vqm25t53b is not listed on IDEAS
    13. repec:hal:spmain:info:hdl:2441/46k9rkvut99i7qnn4vqm25t53b is not listed on IDEAS
    14. Fusari, Angelo, 2014. "An Explanation of Economic Change and Development," MPRA Paper 60042, University Library of Munich, Germany, revised 2014.
    15. Rinaldo Evangelista & Valentina Meliciani & Antonio Vezzani, 2019. "Fast Growing and Key Enabling Technologies and their impact on regional growth inEurope," Working Papers 42, Birkbeck Centre for Innovation Management Research, revised Feb 2021.
    16. Marianna Epicoco & Magali Jaoul-Grammare & Anne Plunket, 2020. "Technological novelty and productivity growth: a cliometric approach," Working Papers of BETA 2020-37, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
    17. Karolina Safarzyńska & Jeroen Bergh, 2010. "Evolutionary models in economics: a survey of methods and building blocks," Journal of Evolutionary Economics, Springer, vol. 20(3), pages 329-373, June.
    18. Jan Fagerberg, 2013. "Innovation - a New Guide," Working Papers on Innovation Studies 20131119, Centre for Technology, Innovation and Culture, University of Oslo.
    19. Juan Ricardo Perilla Jimenez, 2019. "Mainstream and evolutionary views of technology, economic growth and catching up," Journal of Evolutionary Economics, Springer, vol. 29(3), pages 823-852, July.
    20. Jun, Bogang & Kim, Tai-Yoo, 2015. "A neo-Schumpeterian perspective on the analytical macroeconomic framework: The expanded reproduction system," Hohenheim Discussion Papers in Business, Economics and Social Sciences 11-2015, University of Hohenheim, Faculty of Business, Economics and Social Sciences.
    21. Andre Lorentz & Tommaso Ciarli & Maria Savona & Marco Valente, 2019. "Structural Transformations and Cumulative Causation: Towards an Evolutionary Micro-foundation of the Kaldorian Growth Model," Working Papers of BETA 2019-15, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
    22. repec:ebl:ecbull:v:2:y:2002:i:1:p:1-15 is not listed on IDEAS
    23. Fagerberg, Jan, 2018. "Mobilizing innovation for sustainability transitions: A comment on transformative innovation policy," Research Policy, Elsevier, vol. 47(9), pages 1568-1576.

    More about this item

    Keywords

    technology; innovation; Schumpeter; development; crisis;
    All these keywords.

    JEL classification:

    • B52 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Historical; Institutional; Evolutionary; Modern Monetary Theory;
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:reorpe:v:50:y:2018:i:1:p:136-153. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: http://www.urpe.org/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.