Backwardness at technological capabilities is a common problem for all developing regions. Among catching-up economies in the developing world, Taiwan and Mainland China have achieved remarkably rapid growth in the science and technology development. More interestingly, they have done so by adopting distinctly different model of innovation and diffusion strategy. In this study, we compare the performance of industrial innovation between Mainland China and Taiwan by using the framework of national technological capabilities which includes technology push, market pull, S&T and industrial policies, factor market, innovation and diffusion system. By considering the close relationship across the Taiwan Strait, implications of cooperation on technology innovation and high-tech industry development for these two regions are also explored.
Modeling Technology Innovation and Diffusion in Transition Economies: The Case of China
