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The American economy faces two deep problems: expanding innovation
and raising the rate of quality job creation. Both have roots in a
neglected problem: the resistance of Legacy economic sectors to
innovation. While the U.S. has focused its polices on breakthrough
innovations to create new economic frontiers like information
technology and biotechnology, most of its economy is locked into
Legacy sectors defended by technological/economic/political/social
paradigms that block competition from disruptive innovations that
could challenge their models. Americans like to build technology
"covered wagons " and take them "out west " to open new innovation
frontiers; we don't head our wagons "back east " to bring
innovation to our Legacy sectors. By failing to do so, the economy
misses a major opportunity for innovation, which is the bedrock of
U.S. competitiveness and its standard of living. Technological
Innovation in Legacy Sectors uses a new, unifying conceptual
framework to identify the shared features underlying structural
obstacles to innovation in major Legacy sectors: energy, air and
auto transport, the electric power grid, buildings, manufacturing,
agriculture, health care delivery and higher education, and
develops approaches to understand and transform them. It finds both
strengths and obstacles to innovation in the national innovation
environments - a new concept that combines the innovation system
and the broader innovation context - for a group of Asian and
European economies. Manufacturing is a major Legacy sector that
presents a particular challenge because it is a critical stage in
the innovation process. By increasingly offshoring production, the
U.S. is offshoring important parts of its innovation capacity.
"Innovate here, produce here, " where the U.S. took all the gains
of its strong innovation system at every stage, is being replaced
by "innovate here, produce there, " which threatens to lead to
"produce there, innovate there. " To bring innovation to Legacy
sectors, authors William Bonvillian and Charles Weiss recommend
that policymakers focus on all stages of innovation from research
through implementation. They should fill institutional gaps in the
innovation system and take measures to address structural obstacles
to needed disruptive innovations. In the specific case of advanced
manufacturing, the production ecosystem can be recreated to reverse
"jobless innovation " and add manufacturing-led innovation to the
U.S.'s still-strong, research-oriented innovation system.
A roadmap for how we can rebuild America's working class by
transforming workforce education and training. The American dream
promised that if you worked hard, you could move up, with
well-paying working-class jobs providing a gateway to an
ever-growing middle class. Today, however, we have increasing
inequality, not economic convergence. Technological advances are
putting quality jobs out of reach for workers who lack the proper
skills and training. In Workforce Education, William Bonvillian and
Sanjay Sarma offer a roadmap for rebuilding America's working
class. They argue that we need to train more workers more quickly,
and they describe innovative methods of workforce education that
are being developed across the country.
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