general considerations relevant to

general considerations relevant to all types of international movements
of technology.
During the 1950's and 1960's there were numerous international
aerospace manufacturing programs, many of them involving the production
of complete aircraft, as can be seen in Table 1. From 1950 to 1967,
more than 10,000 sophisticated aircraft, with a market value of over
$5 bfflion, were produced by firms under license from the original
designers.
During this period, Japan was particularly active in acquiring aerospace
technology, most of it from the United States. Their skill in doing
so confirmed the reputation the Japanese have had for over a hundred
years as skilled importers of technology; but economists have too often
merely expressed their admiration for Japanese astuteness and left the
matter there. Sociological and cultural factors are important, of course,
but the relevant issue is how the Japanese actually formulate plans and
proceed to acquire technology. The aircraft manufacturing programs
to be analyzed here show that the process involves difficult decisions
about what and how much technology to acquire and the process by
which it is acquired. Correct decisions importantly affect the success and
costs of international transplantation of technology.