This paper argues that there is increasing need for the integration of policy considerations in the formulation of research questions and in the development of analytical work in policy oriented innovation studies. Despite the fact that Evolutionary and Innovation Studies theories have offered new ways of incorporating policy, little explicitness in this regard has yet been achieved and there is a risk that academic research following the new perspectives will be of little relevance for policy. Rather than a 'linear process' starting with empirical research aimed at linking competitiveness and economic performance to technological capabilities (in a comparative perspective and aimed at identifying 'best practice') followed by very abstract and un-grounded 'policy implications' - a new type of link between positive and normative economics in the field is required. Our approach suggests a new structure for policy-oriented and policy-relevant research, i.e. the integration of research on technological change and industrial transformation with research on policy and the development of a conceptual framework for the design and implementation of innovation policies.Innovation Policy, Industrialising Countries, Technology Policy, Industrial Policy,
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