TECHNOLOGY AND CORPORATE GOVERNANCE — LESSONS LEARNT
Abstract
The commercial benefits of technological change arise only from the proper convergence of several factors — corporate governance, financial markets, tax policy, and technological innovation. We explore a case in the United States in the 1990s when these factors were improperly handled and created a financial bubble without economic advance. There must be together — a proper business climate, proper tax laws, proper corporate governance, proper investment in innovation, and proper science & technology infrastructures. Distortion of these factors fosters not economic growth but corporate fraud.