Hindrances to international spread of new technologies

Limitations to the diffusion of technology innovation

Nature

Hindrances to the international spread of new technologies refer to the various barriers that prevent or slow the adoption and diffusion of innovations across national borders. These obstacles include regulatory differences, intellectual property concerns, inadequate infrastructure, cultural resistance, economic disparities, and trade restrictions. Such hindrances limit global access to technological advancements, impede economic development, and exacerbate inequalities between countries. Addressing these challenges is crucial for fostering global innovation, enhancing productivity, and ensuring that the benefits of new technologies are shared more equitably worldwide.

Background

The global significance of barriers to the international spread of new technologies emerged prominently in the post-World War II era, as reconstruction and development efforts highlighted disparities in technological access. The issue gained further attention during the 1970s with debates on the New International Economic Order, where unequal technology flows were linked to persistent global inequalities. Subsequent international forums and reports have increasingly recognized these hindrances as critical obstacles to sustainable development and global innovation diffusion.

Incidence

Barriers to the international spread of new technologies persist across both developed and developing regions, affecting sectors from healthcare to renewable energy. Despite global connectivity, disparities in infrastructure, regulatory environments, and access to capital limit the adoption of innovations, particularly in low- and middle-income countries. These hindrances contribute to widening technological gaps, impeding economic growth and social progress on a global scale.
In 2022, the rollout of mRNA COVID-19 vaccine technology was significantly delayed in many African nations due to patent restrictions, limited manufacturing capacity, and regulatory hurdles, highlighting the ongoing challenges in equitable technology dissemination worldwide.

Claim

Conventional scenarios of the spread of new technologies usually rely on econometric analysis and on straightforward extrapolations of trends in industrialized countries. The implicit assumption is that developing countries will always, to the extent they are able, mimic earlier patterns of development in more industrialized countries -- that if Chileans ever become as wealthy as American, each of them will buy about the same number of refrigerators and air conditioners and travel as much. The assumption does not match the historical record. Technologies advance in clusters, and latecomers do not mimic the countries that adopted a technology first. Often the spread is faster, but ultimately not as far. For example, the adoption rate for motor vehicles was slowest in the USA and Canada, somewhat faster in Europe, faster in Japan, and even faster more recently in developing countries. But the total levels of car ownership remain highest in North America, where the oil era began, and are unlikely to be emulated in other countries.

Counter-claim

The so-called “hindrances to international spread of new technologies” are vastly overstated and hardly a real problem. In today’s hyper-connected world, innovations cross borders at lightning speed, driven by global markets and digital communication. Any minor barriers are quickly overcome by demand and competition. Focusing on these supposed obstacles distracts from more pressing global issues—technology will always find a way to spread where it’s needed. This is simply not a significant concern.