Science, Innovations and Institutions: Comments

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Science, Innovations and Institutions Comments

• Paula Stephan, Georgia State University
• June 2005

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To Begin

• Wont talk about death of linear model or what
  the arc implies with regard to IP
• Former has been resoundingly documented by
  Rosenberg
• Latter Ill leave for Paul David

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Three Observations

• Scientists and engineers working in industry
• The role of knowledge flows
• Bayh-Dole angst

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Scientists and Engineers Working in Industry

• Both papers stress importance to economic growth
  of scientists and engineers working in industry
• Ironically, policy lever that created much of
  this work force in the U.S. owes its existence to
  the belief in the linear modelfaulty as it is.
• Lever was subsidization of production of trained
  science and engineering workforce

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The Workings of the Lever

• Fundamental research was to occur in the
  university and receive (after WWII) federal
  funding
• Research grants included funds to staff labs with
  graduate research assistants and postdocs.
• Major source of financial support for graduate
  study although some fellowships also awarded
• Format continues when funds come from industry
  rather than federal government.

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Implications of the Model

• University labs were staffed by temporary
  workers who had to move on after being trained
• Created a supply greater than that needed for
  replacement and growth in academe
• Has meant that increasingly in U.S. new PhDs work
  outside academe, primarily in industry.

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All Is Not Well Model Could be in Danger

• Supply side evidence of disenchantment with
  career outcomes and training process discourages
  exceptional talent from entering SE.
• Demand side supply is not sufficient to
  stimulate demand scientists and engineers in
  many countries (including Europe) appear to be
  underappreciated by industry.

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Role of Knowledge Flows

• Both Romers and Rosenbergs presentations
  emphasize the importance of knowledge flows from
  technology to the abstract
• Usual research question of economists is exactly
  the opposite tracing the flow of public
  knowledge to the private (and more grounded)
  sector.
• Of coursepublic is not synonymous with abstract
  nor is private synonymous with technology, but

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Equally Important Question

• How knowledge moves from practical to abstract?
• Mansfield is one of the few to do a survey
  related to this suggests faculty consulting
  contributes greatly to the flow.
• Clearly new PhDs working in industry provide
  another means by which knowledge flows up the arc
  
• Need a better understanding of these flows

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Bayh-Dole

• Much angst in U.S. concerning how Bayh-Dole
  affects the mix of research occurring in the
  university.
• Much of this asks whether applied research is
  crowding out basic research.
• Both papersand Donald Stokes workremind us
  that such questions are overly simple and can
  lead to flawed analysis.