Technological Inequality as a New Form of Economic Systems’ Differentiation in the Conditions of Digital Development: The Economic and Political Conflict of Modern Time

Abstract

This chapter’s goal is to determine the essence and causal connections of the emergence of conflicts at the level of economic systems (countries) due to technological inequality and to find the perspectives of overcoming these conflicts. The chapter models the economic and political conflict of modern time under the conditions of high-tech development based on the methods of variation analysis and regression analysis. It is proven that the scale of technological inequality in the world economy is very large. It is the economic and political conflict of modern time, the essence of which is as follows: the differentiation of economic systems amid digital development predetermines the opportunities for their entering the world markets. This chapter contributes to the development of the theory of economic and political conflicts, proving the existence of technological inequality as a new form of differentiation of economic systems amid digital development and defining this inequality as a new economic and political conflict of modern time. The chapter also contributes to the development of the theory of international trade, disproving – for the first time – the action of the principle of freedom of international trade. The authors describe technological barriers of the world markets, which limit the presence of countries that are behind the leading countries by digital development. Three key factors that determine the level of technological development of the economy are given: knowledge-intensive employment, venture investments and financing of innovations in business. Due to the above, the chapter provides opportunities for technological conflict management.

Citation

Popkova, E.G. and Sozinova, A.A. (2022), "Technological Inequality as a New Form of Economic Systems’ Differentiation in the Conditions of Digital Development: The Economic and Political Conflict of Modern Time", Popkova, E.G. and Chatterji, M. (Ed.) Technology, Society, and Conflict (Contributions to Conflict Management, Peace Economics and Development, Vol. 30), Emerald Publishing Limited, Leeds, pp. 7-14. https://doi.org/10.1108/S1572-832320220000030002