Table of Contents

Innovation in Low-Tech Firms and Industries

Innovation in Low-Tech Firms and Industries

Industrial Dynamics, Entrepreneurship and Innovation series

Edited by Hartmut Hirsch-Kreinsen and David Jacobson

It is a general understanding that the advanced economies are currently undergoing a fundamental transformation into knowledge-based societies. There is a firm belief that this is based on the development of high-tech industries. Correspondingly, in this scenario low-tech sectors appear to be less important. A critique of this widely held belief is the starting point of this book. It is often overlooked that many of the current innovation activities are linked to developments inside the realm of low-tech. Thus the general objective of the book is to contribute to a discussion concerning the relevance of low-tech industries for industrial innovativeness in the emerging knowledge economy.

Chapter 4: The Moral Economy of Technology Indicators

Benoît Godin

Subjects: economics and finance, economics of innovation, innovation and technology, economics of innovation

Extract

Benoît Godin INTRODUCTION In 1939 the British left-wing scientist J.D. Bernal suggested a type of measurement that became the main indicator of science and technology: the research budget as a percentage of the national income (Bernal, 1939). He compared the UK’s performance with that of the United States and the USSR, and suggested that Great Britain should devote between 0.5 per cent and 1 per cent of its national income to research. The number was arrived at by comparing expenditures in other countries, among them the United States, which invested 0.6 per cent, and the Soviet Union which invested 0.8 per cent, while Great Britain spent only 0.1 per cent. This certainly seems a very low percentage and at least it could be said that any increase up to tenfold of the expenditure on science would not notably interfere with the immediate consumption of the community; as it is it represents only 3 per cent of what is spent on tobacco, 2 per cent of what is spent on drink, and 1 percent of what is spent on gambling in the country. (Bernal, 1939: 64)1 The scale of expenditure on science is probably less than one-tenth of what would be reasonable and desirable in any civilized country. (Bernal, 1939: 65) Bernal was soon followed by many other organizations, among them the US President’s Scientific Research Board in a survey on government R&D. In 1947, the Board introduced into science policy the indicator first suggested by Bernal,...

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