ABSTRACT

Introduction This chapter is a brief review of technology policy in the automotive and aerospace industries, seeking to explain what policies governments use in order to influence technology development, and what impact these policies may have. It analyses the issues around aerospace and automotive industry technology policies in three steps: first, the key features that characterise the automotive and aerospace industries; second, the range of policy instruments governments use in order to foster R&D and technology development in these industries; and third, assessing the impacts of these policies, not only on the development of particular technologies, but more broadly on the structures, competitiveness and geographies of both industries.