Is the Technological Breakthrough Succeeding? The Politics of Innovation Under Gorbachev

Abstract

The remoteness of science in the sense of detachment from industry's concerns, deficient technological equipment in numerous scientific institutions, their excessive regional concentration, and greater distance from the location of production are factors that have a negative impact upon the maturation period of new techniques and technologies. Berliner begins his investigation from the premise that a high rate of technological change and efficient centralized resource allocation are mutually exclusive. In a world without technological change it may be conceivable that central planning can affect every decision without permitting a single one to be made by the enterprise. The risk of non-fulfillment is relatively small because plan fulfillment can be depicted as a process of discussion and bargaining between the enterprise and central authority. In practice, the planning competence of enterprises is restricted due to the directive way of placing state orders which ties down up to 100 percent of a plant's productive capacity.