The Concentration of Technological Progress

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A good article by Gianluca Carnabuci. The aritcle states that, the size distribution of the domains of US-patented technological knowledge obeys an exponential law, revealing a disproportionable concentration of progress among larger domains. Mr. Gianluca's analyses suggest that this phenomenon is explained by a combination of two factors. First, domains' trajectories of growth have inherently different potentials. Second, differences in domains' potentials are magnified by a mechanism - domains' self-hybridization - endogenous to the process of knowledge growth. Mr. Gianluca conclude that the observed concentration of progress reflects dynamics of knowledge growth that are more general than the specific case analyzed, and should be factored in investment decisions and policies. Read full article

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