Assignment Example | Topics and Well Written Essays - 250 words - 289

Assignment Example However, technological innovation is analyzed as a changing network of agents interacting in an industrial area and in an institutional infrastructure involved in generating, diffusing and utilizing technology. Technology innovation is the process that that brings improved and developed technologies widespread. The reason of technological innovation is to analyze and later develop a particular technology field in structures and processes that support it. The components of technological innovations are called structures. These are representations of the static aspect of the system as it stabilizes over time. They consist of technical infrastructures and artifacts where they are integrated. They also involve the techno-economic that includes the costs, reliability and safety. However, the designing of a cost- effective technological innovation has become quite a challenge as the world has become more interconnected (Graetz, 2013).There are two things that are clearly uncontested by economists. The first thing is the importance of technological innovations in relation to the economic growth. In 1957, Robert Slow demonstrated how significant economic growth per hour of work in the United State s in 1909 and 1949 could be attributed to the advances in technology (Graetz, 2013). Development of intellectual property (IP) is an essential element to national wealth building. Therefore, the government supports the advances in technology in the form of IP legal protection, providing loans and grants and guarantees to both the profit and no-profit making organization research institutions. In addition, they tax benefits for research and development for the innovations. In cases of a closed economy, the citizens and the residents will reap the reward to direct their taxes to spur. Studies have addressed the effects of increased research and development on employment pattern and