Transiting to a New Development Pattern? A Conceptual Analysis of New Dynamic Hypotheses Governing Development
HARRIS TOPALIDES & PATROKLOS GEORGIADIS
Globalization and a shift in the dominant type of capital investments from physical to knowledge forms, emerging since 70’s had a major influence on industrial development pattern. This paper examines the dynamics of their impact, aiming to derive insights about modifications in the corresponding sustainability context. Introducing changes as new operation hypotheses in a dynamic model exhibiting industrial development pattern, it accesses conceptually their effects on the functions controlling capital accumulation and regulating capital intensity level, that dominate its identity. Showing that model’s growth property alters, it induces that development pattern is changing and a new form of limits-to-growth emerges.