Determinants of Technology Innovation in the Transportation Sector: Oil Endowments

by Russell Salazar

The development of energy-efficient technologies is becoming increasingly necessary in a warming world. How can countries encourage firms and individuals to innovate more eco-friendly technologies in an effective manner? Kim (2014) takes a closer look at the socio-economic motivators for the development of energy-efficient technologies, with a primary focus on the transportation sector. The study presents empirical evidence to support the claim that smaller oil endowments result in a greater incentive for the development of more eco-friendly vehicles and energy-efficient designs. These findings, combined with explanations from related economic theory, provide insight into potential sustainability schemes for policy makers around the world. Continue reading