Technology’s Impact on Productivity
I believe that innovation is the catalyst of capitalism. Capital investment chases ideas that deliver a return on investment while solving a problem, want or need. Fortunes are made based on dramatic new ideas that improve life as we know it.
In the production environment, note: Ford's production line, the pneumatic air hammer, plastic injection molding, computer aided design and manufacturing. Also note the acceleration of change today: the Internet, cell phones, Microsoft Windows, Google and the iPod.
The United States of America continues to lead the entire world into both freedom and prosperity through improved productivity. This is the key to wealth creation and lifting billions worldwide out of poverty.
The Wall Street Journal, June 11, 2008 article by Brian Wesbury: Change We Can Believe In Is All Around Us charts the impact. Wesbury makes the point, "America's manufacturing output, as measured by the Federal Reserve, is up seven-fold since 1950, but manufacturing jobs as a share of all jobs have fallen to 10% from 30%." The chart demonstrates the inverse relationship.
We're mashing out 7 times more product using technology to improve efficiency! The jobs landscape in America is changing! We do it faster and better using machines and technology - with less people.
This technology revolution has created, "one of the greatest booms in wealth creation in world history," Wesbury goes on to say.
The source of worldwide wealth, the highest standard of living in the history of the United States and lifting over a billion people worldwide from poverty in the last decade is technological progress. The engine of technological progress is innovation - capitalized new ideas.
Technology continues to drive the productive capacity of the United States and the world - creating wealth and worldwide prosperity.
i3 Business Solutions remains committed to applying technology to accelerate business productivity.