System Dynamics Modeling and the Study of Technological Change

This paper discusses the possibility of studying technological change through applying system dynamics methods. In this sense, the nature of technological change as a systemic and complex phenomenon makes system dynamics methods an adequate tool to this study. However, this possibility emerges because system dynamics methods allow dealing with feedback and time delays characterizing many economic and management phenomena. The authors make an assessment of some important studies in relation to the innovation activity at the biotechnology-related industries and suggesting that the system dynamics approach may be a useful tool to analyze this activity in these industries.