ABSTRACT
As we have already seen in Part One, Friedrich List criticized the classical economists for giving insufficient attention to science, technology and skills in the growth of nations. His book on The National System of Political Economy (1841), might just as well have been called 'The National System of Innovation'. The main concern of List was with the problem of Germany overtaking England and for underdeveloped countries (as Germany then was in relation to England), he advocated not only protection of infant industries but a broad range of policies designed to accelerate or to make possible, industrialization and economic growth. Most of these policies were concerned with learning about new technology and applying it. He clearly anticipated many contemporary theories on 'national systems of innovation' (Lundvall, 1992; Nelson, 1993; Mjøset. 1992).
