TECHNOLOGY DIFFUSION AND PUBLIC-POLICY

This paper has two main objectives. The first is to provide an overview of why policy intervention in the technological diffusion process may be desirable and what form it might take. The second aim is to look at actual diffusion policies and their impacts. We are restricting this paper to a discussion of the diffusion of new process technologies. We also consider diffusion policy only within the context of a given institutional and macro-economic environment. Although it may well be that the supply of skilled manpower, the nature of the capital market, animal spirits and entrepreneurship, fiscal and monetary policies will all impact upon the diffusion path, improvements in these areas will also impact upon a whole host of other aspects of the economy's performance. -from Authors