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FORINNPOL-Forskning for forsknings- og innovasjonspolitikk

The dynamics of technology, trade and regional economic restructuring

Alternative title: Dynamikken i teknologi, handel og regional økonomisk omstilling

Awarded: NOK 0.82 mill.

The trade literature provides an important avenue for understanding economic restructuring. We show how the data resources available in Norway can be utilized in new ways to address issues related to the build-up of knowledge capacities at the regional level and the importance for economic restructuring. The scoping exercise has three objectives. 1. The theoretical work reviews interpretations of trade patterns and their connection to economic restructuring at the regional level. The paper first frames the relationship between technology, trade and restructuring. 2. The second aim is to derive lessons from our theoretical treatment and apply them to the analysis of economic restructuring in Norway. We focus on the restructuring of economic systems linked to a range of sustainable technologies: in particular, related to building out renewable energy production (offshore wind and photovoltaic technologies) and sustainable road transport, as well as, more recently, systems that make better use of organic waste. 3. The third aim is to elaborate a policy brief. We design a "diagnostic system" using data resources available in Norway, specifically using trade data and employment data, and we show its usefulness to "identify local strengths" for restructuring processes.

We argue that the trade literature provides an important avenue for understanding economic restructuring that has not yet been sufficiently researched. We argue that the data resources available in Norway can be utilized in new ways to address issues related to the build-up of knowledge capacities at the regional level. To best summarize the state of the art and to demonstrate how this sort of analysis could be used to address active areas of policymaking, the scoping exercise will be organised according to three sets of objectives. 1. The theoretical work will review interpretations of trade patterns and their connection to economic restructuring at the regional level. The paper first frames the relationship between technology, trade and restructuring. In doing so, it rejoins a strand of the early literature on innovation systems, while going on to follow more recent theoretic developments in the trade and industrial organisation literature. 2. The second aim is to derive lessons from our theoretical treatment and apply them to an empirical analysis of economic restructuring in Norway. We focus on the restructuring of economic systems linked to a range of sustainable technologies: in particular, we are interested in those related to building out renewable energy production (offshore wind and photovoltaic technologies) and sustainable road transport, as well as, more recently, systems that make better use of organic waste. 3. The third aim is to elaborate a policy brief. We design a "diagnostic system" using data resources available in Norway, specifically using trade data and employment data, and we pilot this system to show its utility to "identify local strengths" as they relate to the restructuring processes at issue here. Particular attention is given to the role that multinational enterprises play in the restructuring processes in question.

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FORINNPOL-Forskning for forsknings- og innovasjonspolitikk

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