Advanced Public Procurement as Industrial Policy The Aircraft In

The primary theme of this book is to investigate the macroeconomic significance of the "cloud" of technological spillovers that surrounds advanced industrial production: In what ways do technological innovations spread and contribute to economic growth? W

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Economics of Science, Technology and Innovation Series Editors Cristiano Antonelli, University of Torino, Italy Bo Carlsson, Case Western Reserve University, U.S.A.

For other titles published in this series, go to www.springer.com/series/5942

Gunnar Eliasson

Advanced Public Procurement as Industrial Policy The Aircraft Industry as a Technical University

Gunnar Eliasson Department of Industrial Economics Royal Institute of Technology (KTH) Stockholm Sweden [email protected]

ISBN 978-1-4419-5848-8 e-ISBN 978-1-4419-5849-5 DOI 10.1007/978-1-4419-5849-5 Springer New York Dordrecht Heidelberg London Library of Congress Control Number: 2009943545 © Springer Science+Business Media, LLC 2010 All rights reserved. This work may not be translated or copied in whole or in part without the written permission of the publisher (Springer Science+Business Media, LLC, 233 Spring Street, New York, NY 10013, USA), except for brief excerpts in connection with reviews or scholarly analysis. Use in connection with any form of information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed is forbidden. The use in this publication of trade names, trademarks, service marks, and similar terms, even if they are not identified as such, is not to be taken as an expression of opinion as to whether or not they are subject to proprietary rights. Printed on acid-free paper Springer is part of Springer Science+Business Media (www.springer.com)

Preface

This study is about the macroeconomic effects of positive externalities or industrial spillovers around advanced production. The case explored is the “technology dividend” around Swedish aircraft industry, and in particular around the aircraft manufacturer Saab, and the major industrial project of the JAS 39 Gripen multirole combat aircraft. The project is partly an updating of my book (in Swedish) Technology Generator or a National Presige Project1 from 1995, but extends the analysis in several directions. The study includes a chapter on spillovers from advanced production in an industrially developing economy, South Africa, that has acquired the JAS 39 Gripen for its Air Force. There is also a chapter in which the results for Sweden are discussed in the wider context of advanced public procurement in Europe. The text has been organized such that the main chapters have been written for academic readers. Two supplements include the technical details of data collection, mathematical models, and calculation methods. The first chapter is brief and focused on the results. It has the character of an extended executive summary. The second chapter summarizes the entire story; problems, results, and methods. This project would not have been possible without the generous support of a number of people. First of all great thanks go to all those people with crowded calendars in Swedish industrial firms that have set aside time to respond to my questions. Most of them have been listed at the end of the book. Sever