The speed of technological innovation since World War II is significantly increasing following the commercial exploitation of the Internet. Since the mid 90’s fiber optics capacity (infrastructure for transmission of information including voice and data) has incremented more than one hundred times because of a new technology, dense wave division multiplexing, and Internet traffic has …
Strong connection of innovative actors within a local network is often thought to increase the region-specific knowledge-stock, resulting in a comparative advantage. Nevertheless, it might also result in a lock-in scenario, if local trajectories are directed towards inferior solutions. Accordingly, it’s debated that successful clusters are characterized by the presence of gatekeepers, i.e. actors which …
Comparative advantage exists when a country has a margin of superiority in the production of a good or service i.e. where the opportunity cost of production is lower. The basic theory of comparative advantage was developed by David Ricardo. Ricardo’s theory of comparative advantage was further developed by Heckscher, Ohlin and Samuelson. Format: HTML | …