Information technology and economic development in developing countries

Abstract

Within the last decades, there was a very high level of increase in information technology production. This production successfully speeds up technological changes in only developed countries. Such a situation results in the use of existing knowledge as input in the production of new knowledge in a monopoly of developed countries. Developing countries are, however, still struggling with their own sociopolitical and/or socioeconomic problems. This process creates a bigger technological gap between developed and developing countries. One of the reasons for this is a lack of physical and human capital in developing countries. This is a common problem in the world and necessary precautions should be taken in a timely manner. This study discusses the problematic issues of information technology creation in both developed and developing countries and suggests some solutions. © 2008, IGI Global.