NAME GAITARY

DEPARTMENT oF BUSINESS
ADMINISTRATION
ROLL NO 2k20/MKBBA/13
ASSIGNMENT OF MANAGERIAL
ECONOMIC
SUMITTED TO MAM.MADIHA AWAN
Technology change Productivity and economic
Growth
 TECHNOLOGY

Technology is defined as sum of

Knowledge of the means and methods
Of producing goods and services.
 TECHNOLOGY CHANGE

 The overall process of invention Innovation and difussion in technologies and

process is called technological change.
EXAMPLE: Electron microscopes
IMPACT:
 New products
 Improvements
 Cost reductions for existing products
 Better ways of managing business operations
 TECHNOLOGICAL CHANGE

Technological change is a term that is used in economics to describe a

change in the set of feasible production possibilities.
 Invention
 Innovation
 Diffusion
 LABOR PRODUCTIVITY

Common productivity measure

labor productivity= output/labor
Productivity of inputs directly proportional real income
ASPECTS OF TECHNOLOGICAL CHANGES

TECHNOLOG DIFUSSION
The speed at Which new technolgies become available.
 DISRUPTIVE TECHNOLOGIES

Technologies that destroy the value of existing tchnology and

creates new markets
 PERPETUAL INNOVATION

The rapidity and consistency with which new information

intensive technologies replace older ones.
 Basic changes

Microprocessor and
 telecommunication
lower the real cost in information processing and
communication and facilities global dispersion.
TRANSPORTATION TECHNOLOG
lower cost and transit time.
Internet and world wibe web
back bone of information age .
 EFFECTS OF TECHNOLOGICAL
CHANGES

 Higher performance level

 Better Productivity
 Better quality products
 Operational efficiency
 Lower product introduction time
 Globalised Standards
THE END