One of my favorite writers of recent years has been Michael Schrage of Technology Review. The last article Mr. Schrage will write for MIT’s Tech Review was in the December issue entitled Innovation Diffusion.
Innovation Diffusion according to Michael Schrage: “ the biggest changes to our world are occurring because ofthe accelerating diffusion of innovation.” “Simply put” he says “Innovators don’t change the world. The users of their innovations do.” Mr. Schrage discusses how more people are gaining access to an ever increasing number of innovations at very low cost..
The question comes to mind what about economics such as regressive taxes, concentration of wealth and the convergence of power to make or break good ideas.
For instance most people in America do at least some shopping at Walmart, go through a drive thru at McDonalds or do there grocery shopping at Kroger buying at least a few products form Proctor and Gamble.
What makes technology any different than these first purveyors or at least dominators in their market niches. Technology many times exists, but is never seen by the consumer. Why didn’t GM put out a Hybrid car twenty years ago? The answers lie in economics, and what drives the engine of innovation.
Universaltattletale.com is in the business of helping people with their complaints and compliments, yet viewing us on the web requires that people find us on Google, Yahoo, or MSN etc. This also means that these companies now have a large responsibility in making sites visible at a reasonable cost. —-No that’s not it they have the responsibility to make money for their stockholders. So when it comes to getting noticed these pay per click charges may make it impossible for you to place a complaint if you look to complain about Doctors or an automobile accident. This site does not have the economic incentive or ability to pay $7 a click for what an insurance company might deem appropriate.
Concentrated wealth and market power are indeed big players in the driving of innovation. Yes economies of scale may drive down their prices when we buy a calculator, or computer but the players (sellers) are the same companies. Eventually one player drives out the other player or they merge and combine their efforts to play another day.
Why does it matter to innovators and consumers as long as we’re getting the products at prices we can afford? The answer again is economics.
Why are there big media companies like Time Warner (AOL), News Corporation LTD (Fox) and Disney (ABC, ESPN) who dominate choices about the information we see and hear. Who controls the majority shares, but a few wealthy whom might be invited to Davos Economic Forum or Bilderberg meetings. Who do they invite or cajole but a few influential politicians.
Innovation Diffusion is indeed the apple in the eye of progress, but economic reality is the totalitarian ruler to innovation. Protecting and promoting my kingdom in the search for conquest require that I control all that I can to reap the biggest profits.
Democratic Government seeks to provide a level playing field by balancing the interests and objectives of the public and private sector. When government cannot find balance they borrow money or look for creative ways to balance the books like lotteries or cutting public spending.
The use of innovation allows people to do things better, more efficiently and more productively, but the process requires the protection by Government through not only patents and copyrights, but the diffusion of totalitarian or monopolistic rule through regulation or other interventions.
By Randy Lockdall
Note we now have three links to our site:
http://www.universaltattletale.com/ http://www.etattle.com/ http://www.libertycomplaints.com/
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