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Schumpeter and the Knowledge-Based Economy: On Technology and Competition Policy

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Author Info
Soete,Luc
Weel,Bas,ter (MERIT)

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Abstract

This paper discusses some of the new policy challenges raised by the trend towards the knowledge based economy. It is argued that this trend signals a further weakening of old "market failure" arguments in guiding public action in the field of science, technology and innovation policy. Rather a Schumpeterian perspective on technical change recognizing the intrinsic differences in the nature of the accumulation process across sectors and industries appears more and more warranted. Such an approach does, however, require from policy makers to pay much greater attention to the effectiveness of their policy tools with a focus on policy and institutional learning, rather than following a set of simple normative guidelines about market failures. While such policy and institutional learning can and has to some extent already been implemented in most of Dutch technology policy and is a focal point of OECD comparative analysis (best practice, bench marking), it is much more difficult to introduce at the European level.

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Paper provided by Maastricht : MERIT, Maastricht Economic Research Institute on Innovation and Technology in its series Research Memoranda with number 004.

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Date of creation: 1999
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Handle: RePEc:dgr:umamer:1999004

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Keywords: research and development ;

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  1. Winter, Sidney G., 1984. "Schumpeterian competition in alternative technological regimes," Journal of Economic Behavior & Organization, Elsevier, vol. 5(3-4), pages 287-320. [Downloadable!] (restricted)
  2. Ricardo J. Caballero & Adam B. Jaffe, 1993. "How High are the Giants' Shoulders: An Empirical Assessment of Knowledge Spillovers and Creative Destruction in a Model of Economic Growth," NBER Working Papers 4370, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  3. Bernstein, Jeffrey I. & Mohnen, Pierre, 1998. "International R&D spillovers between U.S. and Japanese R&D intensive sectors," Journal of International Economics, Elsevier, vol. 44(2), pages 315-338, April. [Downloadable!] (restricted)
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  4. Zvi Griliches, 1992. "The Search for R&D Spillovers," NBER Working Papers 3768, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  5. Soete, Luc & Turner, Roy, 1984. "Technology Diffusion and the Rate of Technical Change," Economic Journal, Royal Economic Society, vol. 94(375), pages 612-23, September. [Downloadable!] (restricted)
  6. Segerstrom, Paul S & Anant, T C A & Dinopoulos, Elias, 1990. "A Schumpeterian Model of the Product Life Cycle," American Economic Review, American Economic Association, vol. 80(5), pages 1077-91, December. [Downloadable!] (restricted)
  7. Coe, David T. & Helpman, Elhanan, 1995. "International R&D spillovers," European Economic Review, Elsevier, vol. 39(5), pages 859-887, May. [Downloadable!] (restricted)
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  8. Jeffrey I. Bernstein & Pierre Mohnen, 1991. "Price-Cost Margins, Exports and Productivity Growth: With an Application to Canadian Industries," Canadian Journal of Economics, Canadian Economics Association, vol. 24(3), pages 638-59, August. [Downloadable!] (restricted)
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  9. Coe, David T & Helpman, Elhanan & Hoffmaister, Alexander W, 1997. "North-South R&D Spillovers," Economic Journal, Royal Economic Society, vol. 107(440), pages 134-49, January. [Downloadable!] (restricted)
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  10. Aghion, Philippe & Howitt, Peter, 1992. "A Model of Growth through Creative Destruction," Econometrica, Econometric Society, vol. 60(2), pages 323-51, March. [Downloadable!] (restricted)
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  11. Frank R. Lichtenberg & Donald Siegel, 1991. "The Impact of R&D Investment On Productivity - New Evidence Using Linked R&D-LRD Data," NBER Working Papers 2901, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  12. Rolf Weder & Herbert Grubel, 1993. "The New Growth Theory and Coasean economics: Institutions to capture externalities," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 129(3), pages 488-513, September. [Downloadable!] (restricted)
  13. Soete,Luc & Weel,Bas,ter, 1999. "Innovation, Knowledge Creation and Technology Policy in Europe," Research Memoranda 001, Maastricht : MERIT, Maastricht Economic Research Institute on Innovation and Technology. [Downloadable!]
  14. Romer, Paul M, 1990. "Endogenous Technological Change," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages S71-102, October. [Downloadable!] (restricted)
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