International Technology Lags: The Case of Textile Machinery. Executive Summary Report

摘要

This is the executive summary for a study which investigated the location and diffusion of 40 important capital goods innovations in an industry where foreign producers have led American producers in technology in the postwar era. The data provide further evidence that the capability to advance technology in traditional, small-scale industries that manufacture under-standardized, skill-labor-intensive products has been stronger abroad (especially in Western Europe) than in the U.S. American producers of textile machinery appear to have performed poorly in the commercial introduction of major textile machinery innovations; they have had little success in narrowing the foreign lead. Imitation or diffusion of innovations is relatively slower in this technology than in some other technologies. Another finding was that few of the first imitations of technology take place via direct foreign investment or foreign licensing. In this industry, most innovations are transferred through independent channels, such as industrial intelligence and independent R&D efforts by the imitators. The study considers some possible trade policy implications of this diffusion process, as well as ways of encouraging more innovation in the U.S. textile machinery industry.