IDEAS home Printed from https://ideas.repec.org/a/eee/wdevel/v168y2023ics0305750x23000700.html
   My bibliography  Save this article

Technological trajectories as an outcome of the structure-agency interplay at the national level: Insights from emerging varieties of AI

Author

Listed:
  • Gherhes, Cristian
  • Yu, Zhen
  • Vorley, Tim
  • Xue, Lan

Abstract

Development studies have paid less attention to the role of technological innovations and we are yet to understand how, and more importantly why, technological trajectories differ across countries. This gap becomes sharper as emerging technologies such as artificial intelligence (AI) are becoming increasingly important in addressing many world development challenges. Drawing on insights from institutional work literature, this paper develops a structure-agency interplay framework to unravel the various trajectories of emerging technologies at the national level and examines the development and diffusion of AI in Canada and China. The findings show that Canada’s stable institutional environment, reinforced through institutional work by various actors, generated a national AI trajectory driven by technology development through a strong focus on scientific research and ethics, with slower organic commercialisation of AI. In China, a dynamic and loose institutional structure characterised by lax regulations, low entry barriers, and high openness to novelties has resulted in a market-driven AI trajectory focused on technology commercialisation, with domestic digital giants and the government as dominant players. National-level dynamics in formal institutions, informal institutions, technologies, and actor strategies determine heterogeneous approaches to technology development and diffusion, giving rise to varieties of technological trajectories. The levels of institutionalisation exert different forces and create different spaces for institutional work across different geographical contexts.

Suggested Citation

  • Gherhes, Cristian & Yu, Zhen & Vorley, Tim & Xue, Lan, 2023. "Technological trajectories as an outcome of the structure-agency interplay at the national level: Insights from emerging varieties of AI," World Development, Elsevier, vol. 168(C).
  • Handle: RePEc:eee:wdevel:v:168:y:2023:i:c:s0305750x23000700
    DOI: 10.1016/j.worlddev.2023.106252
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0305750X23000700
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.worlddev.2023.106252?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Daron Acemoglu & Pascual Restrepo, 2020. "The wrong kind of AI? Artificial intelligence and the future of labour demand," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 13(1), pages 25-35.
    2. K. Matthias Weber & Bernhard Truffer, 2017. "Moving innovation systems research to the next level: towards an integrative agenda," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 33(1), pages 101-121.
    3. ., 2001. "An Entrepreneurial Perspective of Institutional Change," Chapters, in: Firms, Governments and Economic Change, chapter 7, pages 115-127, Edward Elgar Publishing.
    4. Madrueño, Rogelio & Tezanos, Sergio, 2018. "The contemporary development discourse: Analysing the influence of development studies’ journals," World Development, Elsevier, vol. 109(C), pages 334-345.
    5. Smith, Adrian & Raven, Rob, 2012. "What is protective space? Reconsidering niches in transitions to sustainability," Research Policy, Elsevier, vol. 41(6), pages 1025-1036.
    6. Binz, Christian & Harris-Lovett, Sasha & Kiparsky, Michael & Sedlak, David L. & Truffer, Bernhard, 2016. "The thorny road to technology legitimation — Institutional work for potable water reuse in California," Technological Forecasting and Social Change, Elsevier, vol. 103(C), pages 249-263.
    7. Jacobides, Michael G. & Knudsen, Thorbjorn & Augier, Mie, 2006. "Benefiting from innovation: Value creation, value appropriation and the role of industry architectures," Research Policy, Elsevier, vol. 35(8), pages 1200-1221, October.
    8. Feldman, Maryann P. & Kelley, Maryellen R., 2006. "The ex ante assessment of knowledge spillovers: Government R&D policy, economic incentives and private firm behavior," Research Policy, Elsevier, vol. 35(10), pages 1509-1521, December.
    9. Casabonne, Ursula & Kenny, Charles, 2012. "The Best Things in Life are (Nearly) Free: Technology, Knowledge, and Global Health," World Development, Elsevier, vol. 40(1), pages 21-35.
    10. Dominic Chalmers & Niall G. MacKenzie & Sara Carter, 2021. "Artificial Intelligence and Entrepreneurship: Implications for Venture Creation in the Fourth Industrial Revolution," Entrepreneurship Theory and Practice, , vol. 45(5), pages 1028-1053, September.
    11. Lee, Keun & Malerba, Franco, 2017. "Catch-up cycles and changes in industrial leadership:Windows of opportunity and responses of firms and countries in the evolution of sectoral systems," Research Policy, Elsevier, vol. 46(2), pages 338-351.
    12. Huang, Can & Wu, Yilin, 2012. "State-led Technological Development: A Case of China’s Nanotechnology Development," World Development, Elsevier, vol. 40(5), pages 970-982.
    13. Gerard George & Shaker A. Zahra, 2002. "Culture and Its Consequences for Entrepreneurship," Entrepreneurship Theory and Practice, , vol. 26(4), pages 5-8, July.
    14. Cooke, Philip, 2001. "Regional Innovation Systems, Clusters, and the Knowledge Economy," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 10(4), pages 945-974, December.
    15. Yonghong Wu, 2005. "The effects of state R&D tax credits in stimulating private R&D expenditure: A cross-state empirical analysis," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 24(4), pages 785-802.
    16. Hart, David M., 2009. "Accounting for change in national systems of innovation: A friendly critique based on the U.S. case," Research Policy, Elsevier, vol. 38(4), pages 647-654, May.
    17. B. Leca & P. Naccache, 2006. "A critical realist approach to institutional entrepreneurship," Post-Print hal-00290012, HAL.
    18. Dantas, Eva & Bell, Martin, 2011. "The Co-Evolution of Firm-Centered Knowledge Networks and Capabilities in Late Industrializing Countries: The Case of Petrobras in the Offshore Oil Innovation System in Brazil," World Development, Elsevier, vol. 39(9), pages 1570-1591, September.
    19. Mihaela DIACONU, 2011. "Technological Innovation: Concept, Process, Typology and Implications in the Economy," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania - AGER, vol. 0(10(563)), pages 127-144, October.
    20. Arenal, Alberto & Armuña, Cristina & Feijoo, Claudio & Ramos, Sergio & Xu, Zimu & Moreno, Ana, 2020. "Innovation ecosystems theory revisited: The case of artificial intelligence in China," Telecommunications Policy, Elsevier, vol. 44(6).
    21. Fuenfschilling, Lea & Truffer, Bernhard, 2016. "The interplay of institutions, actors and technologies in socio-technical systems — An analysis of transformations in the Australian urban water sector," Technological Forecasting and Social Change, Elsevier, vol. 103(C), pages 298-312.
    22. Rotolo, Daniele & Hicks, Diana & Martin, Ben R., 2015. "What is an emerging technology?," Research Policy, Elsevier, vol. 44(10), pages 1827-1843.
    23. Borrás, Susana & Edquist, Charles, 2013. "The choice of innovation policy instruments," Technological Forecasting and Social Change, Elsevier, vol. 80(8), pages 1513-1522.
    24. Markus Steen, 2016. "Reconsidering path creation in economic geography: aspects of agency, temporality and methods," European Planning Studies, Taylor & Francis Journals, vol. 24(9), pages 1605-1622, September.
    25. Julie Battilana & Bernard Leca & Eva Boxenbaum, 2009. "How actors change institutions : Towards a theory of institutional entrepreneurship," Post-Print hal-00576509, HAL.
    26. Michael G. Jacobides & John Paul MacDuffie & C. Jennifer Tae, 2016. "Agency, structure, and the dominance of OEMs: Change and stability in the automotive sector," Strategic Management Journal, Wiley Blackwell, vol. 37(9), pages 1942-1967, September.
    27. Fu, Xiaolan & Gong, Yundan, 2011. "Indigenous and Foreign Innovation Efforts and Drivers of Technological Upgrading: Evidence from China," World Development, Elsevier, vol. 39(7), pages 1213-1225, July.
    28. Vasudeva, Gurneeta, 2009. "How national institutions influence technology policies and firms' knowledge-building strategies: A study of fuel cell innovation across industrialized countries," Research Policy, Elsevier, vol. 38(8), pages 1248-1259, October.
    29. Malerba, Franco, 2002. "Sectoral systems of innovation and production," Research Policy, Elsevier, vol. 31(2), pages 247-264, February.
    30. Ajay Agrawal & Joshua Gans & Avi Goldfarb, 2019. "Economic Policy for Artificial Intelligence," Innovation Policy and the Economy, University of Chicago Press, vol. 19(1), pages 139-159.
    31. Markus Grillitsch, 2019. "Following or breaking regional development paths: on the role and capability of the innovative entrepreneur," Regional Studies, Taylor & Francis Journals, vol. 53(5), pages 681-691, May.
    32. Danny MacKinnon & Stuart Dawley & Andy Pike & Andrew Cumbers, 2019. "Rethinking Path Creation: A Geographical Political Economy Approach," Economic Geography, Taylor & Francis Journals, vol. 95(2), pages 113-135, March.
    33. Granville, Brigitte & Leonard, Carol S., 2010. "Do Informal Institutions Matter for Technological Change in Russia? The Impact of Communist Norms and Conventions, 1998-2004," World Development, Elsevier, vol. 38(2), pages 155-169, February.
    34. Cristian Gherhes & Tim Vorley & Paul Vallance & Chay Brooks, 2022. "The role of system-building agency in regional path creation: insights from the emergence of artificial intelligence in Montreal," Regional Studies, Taylor & Francis Journals, vol. 56(4), pages 563-578, April.
    35. Fu, Xiaolan & Pietrobelli, Carlo & Soete, Luc, 2011. "The Role of Foreign Technology and Indigenous Innovation in the Emerging Economies: Technological Change and Catching-up," World Development, Elsevier, vol. 39(7), pages 1204-1212, July.
    36. Michael G. Jacobides & Sidney G. Winter, 2012. "Capabilities: Structure, Agency, and Evolution," Organization Science, INFORMS, vol. 23(5), pages 1365-1381, October.
    37. Rasmus Lema & Xiaolan Fu & Roberta Rabellotti, 2020. "Green windows of opportunity: latecomer development in the age of transformation toward sustainability," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 29(5), pages 1193-1209.
    38. Soete, Luc, 1985. "International diffusion of technology, industrial development and technological leapfrogging," World Development, Elsevier, vol. 13(3), pages 409-422, March.
    39. Zhen Yu & Zheng Liang & Peiyi Wu, 2021. "How data shape actor relations in artificial intelligence innovation systems: an empirical observation from China [Linking vertically related industries: entry by employee spinouts across industry ," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 30(1), pages 251-267.
    40. Kodama, Fumio & Suzuki, Jun, 2007. "How Japanese Companies have used Scientific Advances to Restructure their Businesses: The Receiver-Active National System of Innovation," World Development, Elsevier, vol. 35(6), pages 976-990, June.
    41. Li, Tiffany & Bronfman, Jill & Zhou, Zhou, 2017. "Saving Face: Unfolding the Screen of Chinese Privacy Law," LawArXiv ndyus, Center for Open Science.
    42. Casson, Mark C. & Della Giusta, Marina & Kambhampati, Uma S., 2010. "Formal and Informal Institutions and Development," World Development, Elsevier, vol. 38(2), pages 137-141, February.
    43. Malerba, Franco & Orsenigo, Luigi, 1997. "Technological Regimes and Sectoral Patterns of Innovative Activities," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 6(1), pages 83-117.
    44. Lee, Keun & Lee, Jongho & Lee, Juneyoung, 2021. "Variety of national innovation systems (NIS) and alternative pathways to growth beyond the middle-income stage: Balanced, imbalanced, catching-up, and trapped NIS," World Development, Elsevier, vol. 144(C).
    45. Isabel Busom & Jorge-Andrés Vélez-Ospina, 2017. "Innovation, public support and productivity in colombia," Working Papers wpdea1701, Department of Applied Economics at Universitat Autonoma of Barcelona.
    46. Choung, Jae-Yong & Hwang, Hye-Ran & Song, Wichin, 2014. "Transitions of Innovation Activities in Latecomer Countries: An Exploratory Case Study of South Korea," World Development, Elsevier, vol. 54(C), pages 156-167.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yap, Xiao-Shan & Truffer, Bernhard, 2019. "Shaping selection environments for industrial catch-up and sustainability transitions: A systemic perspective on endogenizing windows of opportunity," Research Policy, Elsevier, vol. 48(4), pages 1030-1047.
    2. Maximilian Benner, 2021. "System-level agency and its many shades: How to shape the system for path development?," PEGIS geo-disc-2021_10, Institute for Economic Geography and GIScience, Department of Socioeconomics, Vienna University of Economics and Business.
    3. Befort, N., 2020. "Going beyond definitions to understand tensions within the bioeconomy: The contribution of sociotechnical regimes to contested fields," Technological Forecasting and Social Change, Elsevier, vol. 153(C).
    4. Figueiredo, Paulo N. & Cohen, Marcela, 2019. "Explaining early entry into path-creation technological catch-up in the forestry and pulp industry: Evidence from Brazil," Research Policy, Elsevier, vol. 48(7), pages 1694-1713.
    5. Markus Grillitsch & Bjørn Asheim & Arne Isaksen & Hjalti Nielsen, 2022. "Advancing the treatment of human agency in the analysis of regional economic development: Illustrated with three Norwegian cases," Growth and Change, Wiley Blackwell, vol. 53(1), pages 248-275, March.
    6. Liu, Xiaohui & Hodgkinson, Ian R. & Chuang, Fu-Mei, 2014. "Foreign competition, domestic knowledge base and innovation activities: Evidence from Chinese high-tech industries," Research Policy, Elsevier, vol. 43(2), pages 414-422.
    7. Lei Guo & Marina Yue Zhang & Mark Dodgson & David Gann & Hong Cai, 2019. "Seizing windows of opportunity by using technology-building and market-seeking strategies in tandem: Huawei’s sustained catch-up in the global market," Asia Pacific Journal of Management, Springer, vol. 36(3), pages 849-879, September.
    8. Ron Boschma, Lars Coenen, Koen Frenken, Bernhard Truffer & Lars Coenen & Koen Frenken & Bernhard Truffer, 2016. "Towards a theory of regional diversification," Papers in Evolutionary Economic Geography (PEEG) 1617, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Jul 2016.
    9. Rakas, Marija & Hain, Daniel S., 2019. "The state of innovation system research: What happens beneath the surface?," Research Policy, Elsevier, vol. 48(9), pages 1-1.
    10. Maximilian Benner, 2021. "Revisiting path-as-process: A railroad track model of path development, transformation, and agency," PEGIS geo-disc-2021_09, Institute for Economic Geography and GIScience, Department of Socioeconomics, Vienna University of Economics and Business.
    11. Luo, Jianxi, 2018. "Architecture and evolvability of innovation ecosystems," Technological Forecasting and Social Change, Elsevier, vol. 136(C), pages 132-144.
    12. Rikap, Cecilia & Flacher, David, 2020. "Who collects intellectual rents from knowledge and innovation hubs? questioning the sustainability of the singapore model," Structural Change and Economic Dynamics, Elsevier, vol. 55(C), pages 59-73.
    13. Jing Liu & Mengbo Wang & Xiaoling Kang & Xia Zhang & Xing Chen, 2022. "Seizing the opportunity window of artificial intelligence in China: Towards an innovation policy mix framework for emerging technologies from an evolution perspective," Systems Research and Behavioral Science, Wiley Blackwell, vol. 39(3), pages 397-414, May.
    14. Fulvio Castellacci & Prince C. Oguguo & Isabel Maria Bodas Freitas, 2022. "Quality of pro-market national institutions and firms’ decision to invest in R&D: evidence from developing and transition economies," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 12(1), pages 35-57, March.
    15. Kejia Yang & Johan Schot & Bernhard Truffer, 2020. "Shaping the Directionality of Sustainability Transitions: The Diverging Development Patterns of Solar PV in Two Chinese Provinces," SPRU Working Paper Series 2020-14, SPRU - Science Policy Research Unit, University of Sussex Business School.
    16. Joan Crespo, 2021. "Agencies, scales and times of path creation: The case of IoT in Toulouse," Regional Science Policy & Practice, Wiley Blackwell, vol. 13(5), pages 1527-1545, October.
    17. Franco Malerba & Maureen McKelvey, 2020. "Knowledge-intensive innovative entrepreneurship integrating Schumpeter, evolutionary economics, and innovation systems," Small Business Economics, Springer, vol. 54(2), pages 503-522, February.
    18. Heiberg, Jonas & Truffer, Bernhard & Binz, Christian, 2022. "Assessing transitions through socio-technical configuration analysis – a methodological framework and a case study in the water sector," Research Policy, Elsevier, vol. 51(1).
    19. Grillitsch, Markus & Asheim, Bjørn & Nielsen, Hjalti, 2019. "Does long-term proactive agency matter for regional development?," Papers in Innovation Studies 2019/16, Lund University, CIRCLE - Centre for Innovation Research.
    20. Lingjuan Zhao & Kent Ngan-Cheung Hui & Feng Xiong & Yuxin Xia, 2023. "When and Why Do Innovation Policies Change? A Performance Feedback Perspective," SAGE Open, , vol. 13(1), pages 21582440231, March.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:wdevel:v:168:y:2023:i:c:s0305750x23000700. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/worlddev .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.