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"Leapfrogging" Development
April 29, 2008
The February 9, 2008 issue of the Economist (I know - I'm late) brings forth a term that I was quite unfamiliar with: "leapfrogging". Leapfrogging is a modern phenomenon that allows developing countries to surpass the need for widespread and expensive infrastructure such as telephone lines and electric plants due to the rise of technological advancements such as the mobile phone and solar panels. internet.jpgThe concept is truly fascinating and presents an infinite amount of possibilities for poor and improvised countries hoping to improve their quality of living without having to go through the same lengthy steps as their Western counterparts. Marxists have long stressed the need for society to pass through certain phases as seen by Lenin's introduction of New Economic Policy. Capitalists too - especially through international organizations such as the World Bank and the IMF - place infrastructure as one of the first stepping stone of developing countries in their search for economic development.

The billions of dollars spent on roadways for example, could be substitutes by telecommuting employment. Power lines can be supplemented by solar panels. Libraries and universities can be replaced by Internet cafes and distant learning programs. National postal services can be replaced by e-mail. VoIP, wi-fi, mobile phones, video conference, and online marketplaces also represent cheaper, handier alternatives to traditional ways of doing business. The first phase of a planned highway detour in my town of Aguas Buenas, for example, is meant to shrink our town's gruesome traffic jams made by persons commuting to and from their jobs. The first phase of this project costs enough to purchase each resident of the Municipality a laptop computer and a broadband Internet connection. It could also construct 280 public Internet stations or 1,000 distant learning university tuitions. (I'm not saying that that's what should be done, I'm simply trying to put this into perspective.)

The concept of leapfrogging - if it can be manifested into public policy - provides a challenge to these traditional concepts of economic development.

Filed in Economics
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