QUANDARIES IN THE ECONOMICS OF DUAL TECHNOLOGIES AND SPILLOVERS FROM MILITARY TO CIVILIAN RESEARCH-AND-DEVELOPMENT

In this paper we argue that the 'standard' view of the relationship be tween military and civilian technology is too simple and cannot accoun t for the variety of historical experiences. In order to understand th is relationship, attention must be paid to two things: that technologi es have a lifecycle, in different parts of which different types of le arning are important; and that the relationship between military and c ivilian sectors will change depending on the nature of the technology involved, in particular whether it is a process or a product technolog y. In addition, the standard view does not pay heed to the fact that t here are specific organizational requirements to realize any potential cross-benefits. We describe a framework with which to analyse the var ious features of the relationship taking into account these considerat ions.