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1、TheEconomicsofInnovationAnintroductionMISCELLANEOUSCourseconvenor:Dr.Qing-PingMaOfficehours:Mondays4-5pm,Thursday4-5pmOffice:RoomAB377Email:Qing-Ping.Ma@nottingham.edu.cnCourseoutline,lecturenotes,etcwillbeonUdriveOBJECTIVESOFTHISLECTUREWhydowestudytheEconomicsofInnovation?W
2、hatistheEconomicsofInnovationabout?Whataretheessentialinsightsintoinnovation(asaneconomicphenomenon)andtherelationshipbetweeninnovationandeconomyinthehistoryofeconomicthought?Whatarethemainthemesofthoseessentialinsights?WhywestudyeconomicsofInnovation?Innovationisimportantin
3、realeconomy.Historyofmankindisahistoryofinnovations:Neolithicage:10,000BC,agriculture,potteryPaleolithicage:2.5millionyearsago,thefirststonetoolControlleduseoffire:40,000BCWheel:4,000BCBronzeage:3,300BCIronage:10,000BCPapermaking:2ndcenturyMovabletypeprinting:11thcenturyWhyw
4、estudyeconomicsofInnovation?Internalcombustionengine,chemicalindustry,electricalpower,telegram,telephone:19thcenturyAeroplane:1903Television:1923Computer:1945Radio:1897Penicillin:1940Integratedcircuit:1958Audioandvideorecorder,Walkman,mobilephone,gameconsole,CD,DVD,iPod,WWW,
5、Google,Facebook,etc.Steamengine:18thcentury,industrialrevolutionWhywestudyeconomicsofInnovation?Therightwaytostudytheeconomicsofinnovationisabitdifferentfromtheconventionaleconomists’training.Inadditiontomicroeconomics,someknowledgeinevolutionaryeconomics,historyofeconomicth
6、oughts,andadjacentdisciplinessuchasengineering,psychologyandsociologyisneeded.WHATISTHEECONOMICSOFINNOVATIONABOUT?Theeconomicsofinnovationhasbeenconcernedwithfivemaingroupsofquestions:Howshouldwecategorizeandclassifythedifferentaspectsofinnovation?Howareinnovationscreated?Ho
7、wdocustomersreacttoinnovations?Whateffectsdoinnovationshaveonthebroadereconomy?Whatcanandshouldthegovernmentdotosupportanddirectinnovationactivity?KEYINSIGHTSINTOINNOVATIONINTHEHISTORYOFECONOMICTHOUGHT(1)AdamSmith(1723-1790)Inventionandtechnologicalchangewereimportantfactors
8、increating“thewealthofnations”Inventionresultsfromdivisionoflabour,whichist
