Jump to ContentJump to Main Navigation
Financing Innovation in the United States, 1870 to the Present$
Users without a subscription are not able to see the full content.

Naomi R Lamoreaux and Kenneth L Sokoloff

Print publication date: 2007

Print ISBN-13: 9780262122894

Published to MIT Press Scholarship Online: August 2013

DOI: 10.7551/mitpress/9780262122894.001.0001

Show Summary Details
Page of

PRINTED FROM MIT PRESS SCHOLARSHIP ONLINE (www.mitpress.universitypressscholarship.com). (c) Copyright The MIT Press, 2021. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in MITSO for personal use.date: 28 July 2021

The Federal Role in Financing Major Innovations: Information Technology during the Postwar Period

The Federal Role in Financing Major Innovations: Information Technology during the Postwar Period

Chapter:
(p.283) 7 The Federal Role in Financing Major Innovations: Information Technology during the Postwar Period
Source:
Financing Innovation in the United States, 1870 to the Present
Author(s):

Kira R. Fabrizio

David C. Mowery

Publisher:
The MIT Press
DOI:10.7551/mitpress/9780262122894.003.0008

This chapter explores the history of federal R&D and procurement support for the development of key industries in the IT sector. Procurement with R&D programs is valuable to this study due to the fact that the positive effects of federal spending on industry structure and technology diffusion were due to procurement and not R&D programs. Second, technology development and technology diffusion through the expansion of markets cannot be divorced from a discussion on financing of innovation. The chapter then argues that the rapid growth of U.S. firms in the computer hardware or semiconductors industries was largely due to public R&D and procurement programs. Finally, the chapter also discusses the effects of the federal financing of innovation in IT, and how though it may show consistency with the market failure analyses of Arrow and Nelson, there are certain limitations to these analyses.

Keywords:   federal R&D, procurement support, federal spending, technology diffusion, procurement, financing of innovation, public R&D and procurement programs, federal financing of innovation, Arrow and Nelson, market failure analyses

MIT Press Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs, and if you can't find the answer there, please contact us.