The growth of technological innovation encourages more creativity and idea development as well as backing from investors who are interested in seeing these ideas being fleshed out and brought to life. Given the rapid growth of technological innovation in New York City during the past couple of years, and how you have huge companies like Tumblr and Etsy being headquartered here, its encouraging other startups to touch base in New York and grow their company here. New York is “where entrepreneurs seek out the American Dream” and we’ve seen a major rise in the amount of startups ‘starting up’ in New York City because of inspiration from other successful startups that saw their beginnings in New York City. The benefits allow for more innovation in terms of ideas and encourage competition. People see that startups are having major successes in this City and so these people will be inspired to create new plans and companies to fulfill a purpose. Ideally, it will be one that’s beneficial to people, which allows us as a society to be better off.
New startups are “consciously engineered” in response to the corruption on Wall Street. They diversified New York City’s economy, and are not dependent on Wall Street’s backing. This diversified economy will no longer be dependent on financial institutions like major banks and investment banks, and this is a major issue to be dealing with considering how badly the 2008 collapse of some major banking institutions impacting the economy in New York City. Buying technology has gotten more inexpensive in the past few years, and more risks are being taken in light of this technologically innovated future that we are seeing develop.
Some benefits of the growth of technology innovation would be the efficiency that companies would be able to manage, and because of this efficiency, prices within the company can become cheaper. The quality can also be greatly controlled, and kept higher if technology provides for better conditions that are more manageable for owners.
If a specific sector grows due to technological innovation, and those people have very high paying jobs, a potential downside is that neighborhoods will then be faced with higher rents and higher housing prices in the area because of the growth in income of those who live there. Technological innovation can also erase the need for certain jobs and can displace workers.