1. Interpretations of Technological Change One definition of science is knowledge of nature that can be reproduced and tested because it is published. Moreover, it is usually applied in universities and some companies. It uses all things equal and the results can be generalized. On the other hand, technology is the uncodified application of knowledge and therefore difficult to reproduce or imitate. The links between science and technology (S&T from now on) have confused many historians and economists. One explanation for the relationship between S&T is the simple linear model expounded by the economist Schumpeter. According to him, the relationship goes from science to technology to economics. The simplicity of the model has made it popular with policymakers, suggesting that it is better to increase the budget to support science and basic research and development. However, this model may be more suited to late 19th century industries than to those of the 20th century and is therefore no longer accepted as a representation of the relationship between S&T. The Bush report, Science, the Endless Frontier, cited in (Brooks, 1994), supports this point of view. It essentially encourages policymakers to support science because scientists will automatically know what is important for the world and technology will develop and follow. Schmookler analyzes the relationship between S&T and the economy, while being similar to the linear model in that it has no role in either theory of technological improvement; it differs in the direction of the relationship. Shmookler concluded from patent data and economic data that innovation lags behind production and investment in certain industries such as...... middle of article.. .... Friendly Firm: The Role of Technology, Strategy, Organization, and Region, New York: Oxford University Press. Pavitt, KLR (1991), "What Makes Research Fundamental economically useful?", Research Policy, vol 20, no 2, pp 109-20. Rosenberg, N. (1994), "Scientific instrumentation and academic research", chapter 13 in Exploring the Black Box, New York: Cambridge University Press. Schmookler, J. (1962), “Economic Sources of Inventive Activity”, Journal of Economic History, Vol. 22, p. 1-10; reproduced in N. Rosenberg (ed., 1971), The Economics of Technological Change, Harmondsworth: Penguin, chapter 5. Tidd, J., Bessant J. and Pavitt, KLR (1997), “Developing the Framework for a Strategy 'innovation' and 'Paths: Exploing Technology Trajectories', chapters 3 and 5 in Managing Innovation: Integrating Technological, Market and Organizational Change, New York: John Wiley