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Technology as Problem-Solving Procedures and Technology as Input-Output Relations: Some Perspectives on the Theory of Production

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  • Giovanni Dosi
  • Marco Grazzi

Abstract

In this work, inspired by Winter [2006], in fact of vintage 1968, we discuss the relation between three di erent levels of analysis of technologies, namely as (i) bodies of problem-solving knowledge, (ii) organizational procedures, and (iii) input-output relations. We begin by arguing that the "primitive" levels of investigation, "where the action is", are those which concern knowledge and organizational procedures, while in most respects the I/O representation is just an ex post, derived, one. Next, we outline what we consider to be important advances in the understanding of productive knowledge and of the nature and behaviors of business organizations which to a good extent embody such a knowledge. Finally, we explore some implications of such "procedural" view of technologies in terms of input-output relations (of which standard production functions are a particular instantiation). We do that with the help of some pieces of evidence, drawing both upon incumbent literature and our own elaboration on micro longitudinal data on the Italian industry.

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Bibliographic Info

Paper provided by Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy in its series LEM Papers Series with number 2005/26.

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Date of creation: 13 Dec 2005
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Handle: RePEc:ssa:lemwps:2005/26

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Keywords: Theory of Production; Organizational Routines; Problem-solving Knowledge; Production Function; Micro-heterogeneity;

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References

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  1. Schefold, Bertram, 1976. "Different Forms of Technical Progress," Economic Journal, Royal Economic Society, vol. 86(344), pages 806-19, December.
  2. Marengo, Luigi, et al, 2000. "The Structure of Problem-Solving Knowledge and the Structure of Organizations," Industrial and Corporate Change, Oxford University Press, vol. 9(4), pages 757-88, December.
  3. Bartelsman, Eric & Haltiwanger, John C. & Scarpetta, Stefano, 2004. "Microeconomic Evidence of Creative Destruction in Industrial and Developing Countries," IZA Discussion Papers 1374, Institute for the Study of Labor (IZA).
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Citations

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Cited by:
  1. Giulio Bottazzi & Giovanni Dosi & Nadia Jacoby & Angelo Secchi & Federico Tamagni, 2011. "Corporate performances and market selection: some comparative evidence," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-00642692, HAL.
  2. Giulio Bottazzi & Angelo Secchi & Federico Tamagni, 2006. "Productivity, Profitability and Financial Fragility: Evidence from Italian Business Firms," LEM Papers Series 2006/08, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
  3. repec:hal:journl:halshs-00155762 is not listed on IDEAS
  4. Giovanni Dosi & Sébastien Lechevalier & Angelo Secchi, 2010. "Interfirm heterogeneity: nature, sources and consequences for industrial dynamics. An introduction," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-00642680, HAL.

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