Technology choice in the brick and men"s leather shoe industries in Colombia

The project is based on secondary data and on the results of a micro-level field survey of firms in the two industries. It was found that each industry exhibited a very broad range of different choices of technology actually in use, representing wide variations across firms in the use of major input such as capital and labor. The most important factors in causing the patterns observed were imperfections in the input markets, particularly in the capital market. Channels of technology information were also examined. Colombian firms were found to obtain technology information through international channels which are costly, restricted in access and reliability, and dependent on historical accident for their existence. The most important aspect is the limited diffusion of information about variations in technology whose significance is not readily visible (i.e., not appreciated without detailed cost accounting information) such as: minor variations in kline and drying sheds, which affect fuel and drying efficiency in the brick industry; factory organization and cost accounting system in the shoe industry.