12 Arguments (Merits) for intermediate technology
- It uses locally available resources hence reducing on dependence of the imported raw materials which enables the country to sale the scare foreign exchange.
- It helps to reduce unemployment in developing countries. This is because it employs both labour and capital in equal proportions.
- It is simple to use and does not require high skills which are lacking in developing countries
- It is mainly rural based and therefore it helps to reduce rural urban migration,
- It improves the welfare of individuals; This is because it promotes the production of better quality consumer goods and services in the economy.
- It increases output and productivity of factors of production especially in rural areas leading to economic growth and development.
- It promotes capital formation and development of skills. This is because it employs both capital and labour in equal proportions.
- It helps to promote equitable distribution of incomes among people and regions. This is because it facilitates the development of small scale industries that are scattered all over the country .
- It saves foreign exchange which would otherwise be used to import expensive capital equipments,
- It is cheap and affordable to use by developing countries especially in terms of maintenance.
- It facilitates the development of small scale industries which are dominant in developing countries
- It is suitable for developing countries with limited local markets as a way of minimizing resource wastage due to over production.
CATEGORIES Economics
TAGS Dr. Bbosa Science
