Technology nourished development

The KTC model allows computing technology use value and knowledge productivity for a national economy, a firm or an economic sector. The model was put side by side with the Portuguese economy from 1960 to 1991 and to its manufacturing industry from 1996 to 2000. A comparative analysis between model predictions and economic facts shows a positive correlation between knowledge productivity increases and economic growth rate. The technology index contributes to knowledge productivity. Results indicate that, for accelerating growth, knowledge productivity should increase and, for that, more technology is needed.