Innovation and the State: Political Choice and Strategies for Growth in Israel, Taiwan, and Ireland

by Dan Breznitz

The 1990s brought surprising industrial development in emerging economies around the firms in countries not previously known for their high-technology industries moved to the forefront in new Information Technologies (IT) by using different business models and carving out unique positions in the global IT production networks. In this book Dan Breznitz asks why economies of different countries develop in different ways, and his answer relies on his exhaustive research into the comparative experiences of Israel, Taiwan, and Ireland—states that made different choices to nurture the growth of their IT industries.

The role of the state in economic development has changed, Breznitz concludes, but it has by no means disappeared. He offers a new way of thinking about state-led rapid-innovation-based industrial development that takes into account the ways production and innovation are now conducted globally. And he offers specific guidelines to help states make advantageous decisions about research and development, relationships with foreign firms and investors, and other critical issues.

288 pages, Kindle Edition

First published August 1, 2007

About the author

Dan Breznitz is an associate professor at the Sam Nunn School of International Affairs and the College of Management, and an associate professor by courtesy at the School of Public Policy at Georgia Institute of Technology. He is author of the award-winning book Innovation and the State, published by Yale University Press, and a Sloan Foundation Industry Studies Fellow. He lives in Atlanta.

Reviews

[Alix · Rating 5 out of 5]

An excellent example of interview-driven research into political economy. Using extensive interview data, this book explains how the process of building innovation-driven industries in each case differed as a result of the political and institutional processes involved.

[Laurens Cloete · Rating 4 out of 5]

Insightful account and theory on innovation trajectories in three emerging economies

Useful insight into how three countries followed different paths and attained different forms of success in their support of rapid innovation based industries. The book makes strong arguments for the need for state involvement to foster innovation but steers clear of simplistic developmental state ideas.