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Systems of Innovation and Underdevelopment: An Institutional Perspective

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Author Info
Oyelaran-Oyeyinka, Banji () (United Nations University, Institute for New Technologies)

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Abstract

This paper examines institutions and their role in supporting technical change as part of the development process, and asks how institutions shape the system of innovation (SI). The context of underdevelopment exhibits distinct system characteristics that differ markedly from those found under advanced economic conditions and as such deserves close empirical scrutiny. SIs differ significantly under the two sets of conditions, leading to uneven structural changes. The paper therefore explores what functions must be served by systems in developing countries in order to generate technical dynamism. To compare different contexts, it introduces the idea of a System of Learning Innovation in Development (SLID) that emphasizes individual and organizational competence building. The differences between “Advanced” Systems of Innovation (ASI) and two types of SLID are discussed. Infrastructure, one of the key components of institutions involved in development, is used as an illustration. The study found that dynamic SIs function best in a regime of high-quality infrastructure (telephone, Internet, computers and reliable electricity supplies). The case of sub-Saharan Africa serves to illustrate the point.

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Paper provided by United Nations University, Institute for New Technologies in its series Discussion Papers with number 01.

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Date of creation: 2005
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Handle: RePEc:dgr:unuint:200501

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Web page: http://www.intech.unu.edu

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Related research
Keywords: Innovation; Innovation Policy; Capacity Building; Learning; Economic Development; Infrastructure; Sub-Saharan Africa;

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This paper has been announced in the following NEP Reports: References listed on IDEAS
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  1. Mytelka, Lynn K., 2003. "New Wave Technologies: Their Emergence, Diffusion and Impact. The Case of Hydrogen Fuel Cell Technology and the Developing World," Discussion Papers 3, United Nations University, Institute for New Technologies. [Downloadable!]
  2. Doms, Mark & Dunne, Timothy & Troske, Kenneth R, 1997. "Workers, Wages, and Technology," The Quarterly Journal of Economics, MIT Press, vol. 112(1), pages 253-90, February.
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  1. Hall, Andy & Dijkman, Jeroen, 2006. "Capacity development for agricultural biotechnology in developing countries: Concepts, contexts, case studies and operational challenges of a systems perspective," UNU-MERIT Working Paper Series 003, United Nations University, Maastricht Economic and social Research and training centre on Innovation and Technology. [Downloadable!]
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