Incentives to Innovate in Transition : The Case of Laser Technology in Hungary

In the industrialized countries the diffusion of laser technology has been a fairly quick and far-reaching process. Although Hungarian laser R&D has a long history, and has respectable achievements to its credit, the diffusion of laser technology has not been that successful in Hungary. The findings of the paper indicate that under the old economic system both demand and supply factors hindered dissemination. The author concludes with an assessment of the likely impact of ongoing transition on the sector