Notes and References
*. This chapter constitutes an updated
version of ideas contained in Chapter 1 and 2 of Norman, A, (1993)
Informational Society: A theory of discovery, invention, and
innovation, (Kluwer Academic Publishers: Boston)
1. The purpose of a narrow definition is to
keep the discussion focused not to denigrate other types of knowledge
such as the humanities. For a discussion of alternative forms of
knowledge see: Machlup, F, 1962, The Production and Distribution
of Knowledge in the United States , (Princeton University Press:
Princeton)
2. Toch, Nicholas,1987, The First
Technology, Scientific American , Apr, pp 112-121
3. U.S. Congress, Office of Technology
Assessment,1986, Intellectual Property Rights in as Age of
Electronics and Information , O TA-CIT-302 (Washington, DC: U.S.
Government Printing Office, April) For a recent survey of the issues,
see: Benko, Robert P.,1987, Protecting Intellectual Property
Rights , (American Enterprise Institute: Washington) For a
theoretical analysis of this problem, see: Nordhaus W. D.,1969,
Invention, Growth, and Welfare: A Theoretical Treatment of
Technological Change , (The MIT Press: Cambridge) For a current
information on US intellectual property go to "Intellectual Property
Center" on th WEB at
http://www.ljextra.com/practice/intellectualproperty/iprel.html or
the US Patent and Trademark Office at http://www.uspto.gov/
4. For an interesting and controversial
discussion of the dynamics of scientific advance see: Kuhn T.
S.,1962, The structure of Scientific Revolutions, (University of
Chicago Press: Chicago)
5. Scherer,F.M.,1984, Innovation and
Growth: Schumpeterian Perspectives , (The MIT Press:
Cambridge)
6. Moritz, Michael, 1984, The Little
Kingdom , (William Morrow & Company, Inc: New York)
7. Bate, Robert T., 1988, The Quantum Effect
Device: Tomorrow's transistor, Scientific American , Mar
8. This definition is a generalization of
Schumpeter's definition of innovation. Schumpeter J. A., 1934,
The Theory of Economic Development , Trans Redvers Opie.
(Harvard University Press: Cambridge)
9. One of the first expositions of
behavioral man in economics is: Simon, H. A., 1945,
Administrative Behavior , (The Macmillan Company: New York)
For a survey of the economic application of behavior man see H.
Simon's Nobel laureate address: Simon, H., 1979, Rational Decision
Making in Business Organizations, The American Economic
Review , Vol 69 No. 4, pp 493-513. Psychologists have made
numerous empirical studies concerning the decision capabilities of
man. Their work is surveyed in the Annual Review of
Psychology series, see: Slovic, P., B. Fishhoff, and S.
Lichtenstein, 1977, Behavioral Decision Theory, Annual Review of
Psychology , 28:1- 39 Pitz, G. and N. Sachs, 1984, Judgment and
Decision: Theory and Application, Annual Review of
Psychology , 35:139-163, and Payne, J., J. Bettman and E.
Johnson, (1992), Behavioral Decision research: A Constructive
Processing Perspective, Annual Review of Psychology , 43:
87-132
10. Simon, H., 1957, Models of Man
. (John Wiley &Sons,Inc: New York)
11. For a survey see Hogarth, R., 1987,
Judgement and Choice, 2nd Edition , (John Wiley &Sons:
New York). Also see Payne, J., J. Bettman and E. Johnson, The
Adaptive Decision Maker (Cambridge University Press: New
York)
12. Tversky, A., 1969, Intransitivity of
Preferences, Psychological Review , Vol 76 No. 1, pp
31-48
13. Hampton,W.J. and J.R. Norman, 1987,
General Motors: What went wrong, Business Week , March 16,
pp 102-110
14. PCOrder is on the WEB at
http://www.pcorder.com/
15. Chandler, Alfred D.,Jr, 1962,
Structure and Strategy , (The MIT Press, Cambridge, MA)
16. Indeed, imitation in business has now
been given the colorful buzzword, benchmarking, which means searching
the world to find the best practice to implement in the firm. To
facilitate benchmarking clearing houses such as American Productivity
and Quality Center have been established. For example, see: Altany,
D., 1992, Benchmarkers Unite: Clearing house provides needed
networking opportunities, Industry Week, Feb 3, pp 25. Online
benchmarking organizations are (1) American Productivity and Quality
Center at http://www.apqc.org/ and (2) The Benchmarking Exchange at
http://www.benchnet.com/
17. The design of experiments of social
processes was initiated by Sir Ronald A. Fisher in the 1920s, see
Fisher, R, 1960 The Design of Experiments, (Hafner Publishing
Company, Inc: New York). There is a vast literature on the subject an
numerous types of models for researchers, for example see Graybill,
F. (1961), An Introduction to Linear Statistical Models ,
(McGraw-Hill Book company, Inc.: New York)
18. The much smaller literature on
estimation and contral was initiated by control theorists in the
1960s. So defined, innovation in the context of a single entrepreneur
is mathematically a problem in estimation and control. Such problems
are intractable, see: Aoki, M., 1967, Optimization of Stochastic
Systems (Academic Press: New York). Several of the author's
technical papers are in this area. For example, Norman A., (1976)
First Order dual Control, Annals of Economic and Social
Measurement , 5/3 311-321 and Norman a. and D. Shimer, (1994),
Risk, uncertainty, and complexity, Journal of Economic Dynamics
and Control 18 231-249
19. Poe, Robert, 1988, American Automobile
Makers Bet on CIM to defend against Japanese Inroads,
Datamation , March 1, pp 43-51
20. Hogarth, R., 1987, Judgement and
Choice, 2nd Edition , (John Wiley & Sons: New York)
21. The problem in providing empirical
support for this statement is finding a learning situation where
technology changes slowly. Studies of tradition agriculture have
indicated that traditional farmer's decisions are approximately
optimal. For example, see: Hopper,W. D., 1954 Allocation Efficiency
in a Traditional Indian Agriculture, Journal of Farm
Economics , 47 pp 611-24
22. Einhorn H. J.,1980, Learning from
Experience and Suboptimal Rules in Decision Making in Wallsten, T.
S.(ed), Cognitive Processes in Choice and Decision Behavior
(Lawrence Erlbaum Associates, Publishers: Hillsdade NJ)
23. For the noneconomist an informal
definition of economies of scale is that it is more
efficient to pursue the respective activity at a larger scale of
operations. Systematic research by small, independent formers lacks
economies of scale because there would be too much duplication of
effort.
24. Gunderson, G., 1976, A New Economic
History of America , (McGraw-Hill: New York)
25. Rosenberg, Nathan, 1972, Technology
and American Economic Growth , (Harper Torchbooks: New York)
26. See reference 25 and for comment on
McCormick see: Bruchey, Stuart, 1975, Growth of the Modern
American Economy , (Dodd, Mead and Company: New York)
27. For a survey of the innovations in
business organization, see: Chandler, Alfred D. Jr., 1977, The
Visible Hand: The Managerial Revolution in American} Business ,
(The Belknap Press of Harvard University Press: Cambridge)
28. Veysey, Laurence R., 1965, The
Emergence of the American University , (The University of
Chicago Press, Chicago)
29. See reference 4
30. For example, by 1880 a majority of
engineers were university trained. See: Ray, John, 1979, The
application of science to industry, in Oleson, A. and J. Voss (eds.)
The Organization of Knowledge in Modern America , 1860-1920,
(The John Hopkins University Press: Baltimore)
31. Stine, Jeffrey K., 1986, A History
of Science Policy in the United States , 1940- 1985, Report
prepared for the task force on science policy, Committee on Science
and Technology, House of Representatives, (U.S. Government Printing
office, Washington, DC) NSF report on science policy. NSF is on the
WEB at http://www.nsf.gov/
32. For a reference to the development of
industrial research see: Lewis, W. D., 1967, Industrial Research and
Development in Kranzberg, M. and C. W. Pursell Jr. (eds),
Technology in Western Civilization Vol II (Oxford University
Press: London). For an interesting account of the development of
industrial research at GE and Bell see: Reich, Leonard S., 1985,
The Making of American Industrial Research: Science and Business
at GE and Bell , 1876-1962} (Cambridge University Press:
Cambridge)
33. The National Technology Transfer Center
is on the WEB at http://www.nttc.edu/nttc.html. The NASA Technology
Transfer Network is on the WEB at http://ctd.hq.nasa.gov/. The
National Information Technology Service is on the WEB at
http://www.fedworld.gov/ntis/ntishome.html
34. The IC2 technological transfer program is on the
WEB at
http://www.utexas.edu/depts/ic2/science.html and the Texas
Technological Transfer Association is on the WEB at
http://engineer.tamu.edu/t3a/
35. A famous article of the social rate of
return of agricultural research is: Griliches, Z., 1958, Research
Costs and Social Returns: Hybrid Corn and Related Innovations,
Journal Political Economy , October, pp 419-31.
36. Knezo, Genevieve, 1986, Research
Policies for the Social and Behavioral Sciences , Report
prepared for the task force on science policy, Committee on Science
and Technology, House of Representatives, (U.S. Government Printing
office, Washington, DC) NSF report on science policy
37. For a discussion, see, for example:
Roethlistberger, F. J., 1941, Management and Morale ,
(Harvard University Press: Cambridge)
38. Hausman, J. A. and D. A. Wise (eds),
1985, Social Experimentation , (The University of Chicago
Press: Chicago)
39. U.S. Congress, Office of Technology
Assessment, 1986, Research Funding as an Investment: Can we
measure the returns? , Science Policy Study Background Report
No. 12, (US Government Printing Office: Washington)
40. Port, Otis with R. King and W. Hampton,
1988, How the New Math of Productivity Adds Up, Business
Week , June 6,pp 103-113