Measuring the generality of nanotechnologies and its potential economic implications

Abstract

Technologies that have applications in a large number of sectors (general) have a more significant positive impact on economic activity in comparison to technologies that have applications in a few sectors (focused). The former are referred to in the economic literature as general purpose technologies (GPTs). Using patent data I conclude that nanotechnologies show one of the main characteristics of a GPT, high Generality, and I show the progression of their generality over the time period 1980-2008. A metric for generality is applied to compare nanotechnologies with other technologies previously identified as GPTs. The measurements show that `Nanotechnologies' have a higher average generality than semiconductors, and that the level of generality of nanotechnologies has remained fairly constant for more than two decades. Technologies such as `carbon nanotubes', and `nanoparticles' have a higher generality than `quantum dots'. `self-assembly' appears to have transformed from a focused technology to a general purpose one. The choice of classification system used to calculate the generality is relevant for the analysis of time trends. A high level of generality in nanotechnologies is important to nanotech-intensive firms because it translates into a larger potential range of applications of their innovations. On the other hand, it also increases the possibility of competition from rivals that were previously developing focused technologies.