THROUGHOUT history, societies have evolved in different ways, creating a complex mix of progress and inequality. A few regions embraced literacy and developed into industrial societies with metal tools, while others remained tied to non-literate farming techniques. The world today is still shaped by the historical choices of these societies, resulting in a significant divide between the Global North and the Global South. A stark contrast between the Global North and the Global South characterizes the contemporary era. The Global North consists of highly developed states that have achieved remarkable progress, prosperity and overall development. In comparison, the Global South is predominantly made up of developing and least developed countries, witnessing a decrease in different measures. The striking difference begs the question: what is the root cause of such a significant divide between these two regions?
Societies’ ability to adopt innovative tendencies holds the key. Innovation is what enables the creation of new ideas within a society. Nevertheless, certain prerequisites need to be satisfied for innovation to take birth. A society must prioritize equality as a fundamental requirement to allow innovative tendencies to take momentum. It requires creating inclusive societies with equal opportunities to promote prosperity and encourage innovation. In contrast, inequality serves as a barrier, restricting the support and opportunities for creative individuals. The difference in prosperity between the developed and the developing world lies in this hidden fact. The Industrial Revolution provided the foundation for innovation on a global scale. Even before this transformative period, England had an inclusive society that promoted equality and fairness. The value placed on inclusivity in societies led to the emergence of innovations like the light bulb, railway network and television.
To foster innovation, creating a secure and conducive environment for individuals to take risks is crucial. By shielding people from the fear of failure, a safety net empowers them to take steps to make innovations. Robust social safety nets, including education for all and availability of health and social security services, lay the groundwork for innovation. Moreover, a basic social income in wealthy societies enables many entrepreneurs to explore uncharted territories, pushing the limits of innovation. Innovation is heavily influenced by the security of property rights. The United States and other countries with strong property rights protection have given rise to influential companies like Apple and Microsoft. By revolutionizing the computer industry, these companies have made America a dominant force in technology.
Inclusive institutions are foundations of innovative societies, safeguarding individuals and promoting equality in wealth division and opportunities. Inclusive institutions foster an environment for individuals to thrive, driving innovation. Moreover, societies that foster innovation prioritize investment in human capital to boost population competitiveness. Denmark, Switzerland, Sweden, the USA, the UK, Singapore and Canada are among the most innovative countries globally because of their emphasis on inclusivity, competitiveness and human capital development. On the other hand, numerous developing countries in the Global South experience major obstacles in these domains, impeding their advancement in innovation. The ability of societies to create innovative societies is hindered by challenges such as inequality, extractive institutions, lack of social security, limited competitiveness and threats to property rights.
The Global North excels in innovation compared to the Global South, and with the rise of AI, embracing this technology is crucial for a nation’s future success. Failure to do so can lead to decline, while embracing AI offers unparalleled opportunities for advancement. Nations that embrace AI will lead innovation, shaping the future, while those that don’t risk falling behind in the rapidly evolving global landscape.
Nations must focus on key aspects to bridge the innovation divide and move forward together. Making inclusivity and equality a priority should be the main focus of societal agendas. The focus is on addressing and dismantling systemic barriers that uphold inequality. Creating equal opportunities for education, healthcare and economic participation is crucial for fostering innovation. Secondly, the formation of inclusive social safety nets and the security of a minimum social income can enable individuals to embrace risks and pursue creative ventures without the fear of grave outcomes. Creating a non-punitive environment for failure can promote a culture of experimentation and creativity in societies.
Protecting property rights fosters innovation and entrepreneurship by providing a supportive legal environment. Strong frameworks safeguard intellectual property, encouraging investment in innovative endeavours. Inclusive institutions are vital, prioritizing individual welfare and fair resource distribution. Transparency, accountability, and fairness promote innovation. Human capital development is paramount, achieved through investments in education and skill-building, ensuring societies are equipped to tackle future challenges.
The global gap between the Global North and Global South stems from societies’ ability to embrace innovation. Despite the importance of security blankets, property rights protection and human capital development in shaping innovative societies, underdeveloped nations still face challenges. With the emergence of AI, countries must actively navigate the challenges and opportunities to ensure their future positions. To create a unified future, nations should prioritize inclusivity, invest in social safety nets, protect property rights, build inclusive institutions and focus on developing human capital. By addressing these key aspects, societies can create a world where progress is a shared endeavour, breaking the barriers of the innovation divide. The fate of our planet rests with nations that can innovate, adapt and cultivate a culture of ongoing advancement. Achieving a united future is difficult yet promising, necessitating global collaboration.
—The writer is CSS Officer, based in Sargodha.
Email: waqarhassancsp@gmail.com
views expressed are writer’s own.
