ABSTRACT

This chapter considers the extent to which the prevailing approach to industrialization, based on a reliance on the transfer of technology from developed country enterprises, is capable of contributing to a diminution of this problem. The seriousness of technological dependence as it applies to the poorer countries, however, is that, because of an absence of experience with modern technology generated by historical factors, there is a lack of skills. Although transnational firms have been the principal source for the transfer of production technology, it has been overlooked that they are also the main avenue for the transmission of “consumption technology.” The inappropriateness of many of the rich country products introduced and promoted in the domestic markets of poor countries derives from the fact that they embody technological characteristics that are unnecessary, undesired or too costly to meet the basic needs of nutrition, health, clothing and shelter. Moreover, the technological dependence of developing countries maybe self-perpetuating.