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New Report from PPI’s Innovation Frontier Project Outlines the Challenges of the Digital Economy and the Need for Policies That Advance the Diffusion of Frontier Technologies

  • May 6, 2021

Today, the Innovation Frontier Project (IFP), a project of the Progressive Policy Institute, released a new report from James Bessen, an economist and Executive Director of the Technology & Policy Research Initiative at Boston University School of Law.

In the report, Bessen argues that new information technology has delivered more and unprecedented convenience for consumers, and good-paying jobs that contribute to overall economic growth. However, limited access to the technology is also contributing to the major economic and social issues of the day: the growing dominance of large firms and the struggle to increase the flow of knowledge, slow productivity growth, rising economic inequality, and the failure of regulation. The challenge for policymakers is to mitigate these negative effects while preserving as many of the benefits as possible to consumers, to workers, and to the economy.

“James Bessen provides a policy framework for thinking about the diffusion of these important digital technologies. The productivity gains that have resulted from proprietary IT investments are vitally important, but now we need to make sure the whole economy can benefit from these advancements.” said Caleb Watney and Alec Stapp, co-leads of the Innovation Frontier Project.

The report draws from his forthcoming book, “Superstar Capitalism”, to be published by Yale University Press.

Read the report here.

Based in Washington, D.C. and housed in the Progressive Policy Institute, the Innovation Frontier Project explores the role of public policy in science, technology and innovation. The project is co-led by Caleb Watney and Alec Stapp.

The Progressive Policy Institute (PPI) is a catalyst for policy innovation and political reform based in Washington, D.C. Its mission is to create radically pragmatic ideas for moving America beyond ideological and partisan deadlock. Learn more about PPI by visiting progressivepolicy.org.

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