The economic basis for national science and technology policy

National science and technology policy is concerned with societal choices with respect to the rate and directions of technological change and the adoption and use of new technology in society. Such policy choices occur primarily in connection with management of the creation, dissemination, and use of scientific and technical information. Two categories of policy instruments discussed are market-oriented approaches, and direct public action. Possibilities for increased use of market-oriented approaches that can provide benefits to society in the form of an increased rate of innovation and of more 'appropriate' technology, better suited to the needs of consumers are indicated.