Lecture 1 - Definitions & framwork

Question 1

What is meant by technology?

Answer 1

• “A technology is the aggregation of capabilities, facilities, skills, knowledge and organisation required to successfully create a useful service or product.” - Branscomb, 1995
• technology takes physical inputs and turns them into physical outputs Y = f(K,L,M), eg 3D printer - f is the tech, K L M are the inputs such as cost, labour, materials to create the desired output Y.
• Technology can either update the other tech to make the process more efficient / cost less or it will completely change the industry by having a different take on the tech, this is very desirable and attractive.

Question 2

What is Technology Policy?

Answer 2

“Technology policy concerns the public means for nurturing those capabilities and optimising their applications in the service of national goals and interests.” - Branscomb, 1995
It makes sure that technologies are introduced and nurtured into society as efficiently as possible and in a way that will bring the biggest benefit to the public and the economy. It will allow the tech to be optimised and diffused across the country.

Question 3

What is a policy?

Answer 3

• A course of principle of action adopted or proposed by a government, party, business or individual.
• A policy is a guiding principle to give direction
• It can be a course of action to guide and influence decisions
• The difference between a policy and a regulation is that a policy is not enforceable

Question 4

‘Good policy’ Advice / characteristics? / Good starting points for these policies?

Answer 4

• Grounded in the big picture
• Focuses on the customer, high engagement and positive public support
• comes from a strong analytical foundation
• Rests on a substantial evidence base
• takes time and builds in systematic evaluation
• Makes administration easier and allows people to get along with the organisations’ core business more efficiently and effectively.
  What constitutes a ‘good’ policy is conditioned not only by technology and financial factors but also by social norms and values, institutions, geopolitics, public trust and history.

Question 5

Science, Technology & Innovation policy?

Answer 5

goes from science -> technology -> innovation
- Science policy Focus: production of scientific knowledge and development of science / scientists
- Technology policy Focus: Advancement & commercialisation of sectoral technical knowledge (essentially improving the technology)
- Innovation policy Focus: Overall innovative performance of the economy
Diffusion of the technology is essential to create a substantial difference to the country - importance of adopting rather than only creating new tech.

Question 6

Govt policies that impact on technology policy?

Answer 6

• Competition Policy
• Regional Policy
• Industrial Policy
• Macroeconomic Policy
• Education Policy
• Sectoral Policy

Question 7

What is ‘competition’ policy?

Answer 7

Policies that are put in place to promote competition; make markets work better and contribute towards improved efficiency in individual markets & enhance competitiveness of UK businesses within the EU eg Uber

Question 8

What is ‘regional’ policy?

Answer 8

A policy with the stated aim of improving the economic well-being of regions and also to avoid regional disparities. eg offshore wind turbines - creates jobs in remote areas where there could be levels of unemployment. Also known as cohesion policy.

Question 9

What is ‘industrial’ policy?

Answer 9

A countries strategic effort to encourage the development and growth of part or all of the manufacturing sector as well as other sectors of the economy. eg Aircraft - governments love to subsidise aircrafts as they are such a great recent technological innovation and provide so many jobs. Jobs created across a range of industries too, such as the manufacturing side, airports and airlines.

Question 10

What is ‘macroeconomic’ policy?

Answer 10

The branch of economics that deals with the overall functioning of the economy. Macroeconomic policies are critical in shaping the landscape within which factor markets (eg labour and capital) and product markets (eg shoes, cars) operate. eg infrastructure in China - The heavy investment in infrastructure in China allows them to maintain its’ high levels of GDP rate because they are working hard to continually increase the country / landscape to account for these other industries.

Question 11

What is ‘education’ policy?

Answer 11

Refers to the principles and the policy-making decisions made by the government around the educational sphere. Also looks at the collection of laws and rules that govern the operation of education systems. eg skills training - extra / additional skills training will increase the quality of education. This, in turn, will increase the economy and tech innovation as there are better moulded minds available.

Question 12

What is ‘sectoral’ policy?

Answer 12

Policies that are designed and implemented in specific industries such as medicine, transport, defence.

Question 13

What is the Energy Policy ‘Trilemma’?

Answer 13

Triangle - Competitiveness (cheap as possible), Security of supply (High quality & consistent), Environment (Externalities positive/ low)

Question 14

Why is ‘good’ energy policy so difficult? Also Issues/ generic considerations with ‘good’ policy towards technology?

Answer 14

• Affordable, clean, efficient and secure provision of electricity, heating and transport fuel difficult to reconcile.
• Many developing countries have clearly disastrous policies with expensive, dirty, inefficient and insecure energy. These policies were put in place initially when that developing country did not have good, clean resources or the technology to build sufficient infrastructure so had to make compromises.
• Many developed countries just have ‘mess’ of policies (f.Rhodes, 1988).
• Difficult to move from current reality to the clearly better, especially given trade-offs with non-energy policies. ie it is hard to redevelop the whole policy structure without altering other sectorial policies, this takes time and requires being able to re-create entire infrastructures that may have been in place for decades.

Question 15

what are the roles for the state?

Answer 15

4 Broad roles:

• Tax & spend - state has tax raising powers, private companies do not have enough incentives to solve the tech issues so govt needs to provide subsidies for R&D and private sector R&D. - RCUK (Research Councils UK, a non-departmental public body which coordinates science policy in the UK), R&D tax credit
• Market Participation, eg military procurement - military will push to gain highest level of tech to have advantage over enemies, govt needs to fund this.
• Rule setter and enforcer, eg IPR system - although it is hard to protect rights around tech advancements
• Creater/bearer/sustainer of normative order, incentives to create eg awards, vision for progress

Question 16

Why does good policy often mean difficult tradeoffs? Examples?

Answer 16

Clean air act - multidisciplinary approach where difficult tradeoffs had to be made between different industries / advocacies that have conflicting interests, to achieve the goal set out. Another eg GMOs - tradeoffs need to be made between the scientists (want new tech to be diffused and their products used), the public (want to be safe / not endanger themselves - in developing countries also want to maintain strong food supply), the farmers (already have infrastructure in place, hassle for them to change everything. what incentives can they be offered? Profit increase as larger output). All of these advocacies need to be on board with the new tech and offered different incentives to reconcile their interests.

Question 17

Examples of good energy policy in UK?

Answer 17

– Successive raising of pension age
– Improvement in primary school performance
– Drink driving campaign and Smoking bans
– Inheritance taxes in C19th

Question 18

explain why the Clean air act was considered a good TP and what lessons other countries can take from this and also other TP’s?

Answer 18

• First of its kind in a modern and industrial economy
• Was the most innovative piece of environmental legislation in the world at the time
• Supported comprehensive transition away from using dirty coal in cities to cleaner fuels for heating & power
• Focussed on the ‘environmental’ pillar of the energy trilemma, by reconciling environmental goals with economic and security realities.
• Explicitly about the health of the public and in line with affordability and security goals
• Uncovered that good energy policies have a strong political leadership, understanding of cultural obstacles, long time horizon and a co-ordinated effort among the stakeholders.
• Used multidisciplinary approach to energy policy analysis including social sciences and humanities and natural science disciplines.
• Reveals the importance of social constraints, technology, infrastructure planning, culture, structure of political institutions, community mobilisation.

Question 19

Why do experts often fail to be decisive in the policy process?

Answer 19

• Primary reason: it’s not just about efficiency and efficacy. More about the impact that these decisions will put on the public it is concerning
• there is a lot to consider when designing a policy: perception of the problem (what is wrong and what is the optimum method to change it), study the scientific arguments (quantitative evidence and scientific prediction), well being (How to assess the quality of life and the impacts a policy might have, what are the risks incorporated), Public trust in energy stakeholders.
• Many different industries need to have their say, so cannot just make decisions quickly as this could lead to mistakes at the public’s expense.
• Easy to come up with numbers but these need to be set against evidence
• Not always ready to interfere with peoples decisions
• Evidence and expertise often conflict over time
• People don’t always trust the experts (GM food)
• Majority of cases there is are large grey areas that take time to resolve
• ## Experts can argue over different points (experts from different backgrounds / different countries / advocacies)