Poor countries adopt new technologies like a herd, not a plan

This paper offers a new way to understand how poorer countries adopt technologies from richer ones. It suggests that countries often copy what their neighbors are doing, rather than making independent choices.

For decades, economists have struggled to explain why some countries catch up technologically and others don't. This model suggests that simply making technology available isn't enough; social dynamics and peer pressure play a big role. It means that policies aimed at technology transfer might need to focus more on how information spreads and how decisions are influenced by others, not just on access or incentives.