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Laboratory of Technology Policy
and Management of Technology |
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 Technology and Economic Inequality
Technological Innovation, economic development and income inequality have been increasingly discussed and the analysis has suggested the need to develop either advanced research methodologies, or improved empirical analysis, for better understand possible linkages among the various issues, as well as improved policies and strategies. The work will continue to be performed in close collaboration with the UTIP - University of Texas Inequality Project, http://utip.gov.utexas.edu/, and will focus on the Theil statistics. In fact, the calculation of income inequality from survey data is an exacting business; it requires ranking individuals (or families) into groups of equal size and exact ordering on the income scale. But there is another statistic, originating with the econometrician Henri Theil, that can be computed from almost any type of grouped data, even if incomes within the groups overlap. This is Theil's T statistic, and the realization that it can be computed from industrial data sets is the basis for the work to be considered.
At the empirical level, and using extensively the analytical OECD databases on employment and wages, the work will bring together a rich data set that conveys how the recent rise in inequality in some of the most developed countries is associated to the levels of technology intensity of their industries. The ultimate goal is to discuss the extent to which the higher the technology intensity of industries, the stronger this association is.
- Pedro Conceição, Pedro Faria, Pedro Ferreira, Beatriz Padilla, and Miguel T. Preto (2004), Does Inequality Hinder the Diffusion of Technology? Preliminary Explorations [download paper]
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