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Modeling Technology Adoption in Developing Countries

Some possible empirical models for studying technology adoption are reviewed. One of the key decisions in modeling technology adoption concerns the extent to which empirical estimation is consistent with an underlying theoretical model of optimizing behavior. Some researchers find structural models...

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Bibliographic Details
Published in:American Economic Review; (United States) 1993-05, Vol.83 (2), p.396-402
Main Authors: Besley, Timothy, Case, Anne
Format: Article
Language:English
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Summary:Some possible empirical models for studying technology adoption are reviewed. One of the key decisions in modeling technology adoption concerns the extent to which empirical estimation is consistent with an underlying theoretical model of optimizing behavior. Some researchers find structural models unconvincing, noting the lack of specification tests or well-defined null hypotheses to test the model against. At the other extreme, some models pay only lip service to the underlying theory. It is often difficult to interpret results from a model that does not correspond to an underlying decision process. To get the best results, one might try to combine both types of modeling on any given data set. Statistical models may suggest what is worth modeling structurally. In this way, theoretical models can be developed that are better tailored to the data under consideration, thereby encouraging researchers to think more carefully about the underlying process generating the data.
ISSN:0002-8282
1944-7981