24, June 2026

In 2026 THECIS celebrates its 25th anniversary. To celebrate this, we are starting a 25th Anniversary Blog series where we ask prominent individuals to write a blog to provide perspective on a topic related to innovation and entrepreneurship. This Blog is by Carlos Freire-Gibb, Assistant Professor at the MacEwan School of Business, MacEwan University in Edmonton.

Blog 110: Increase of usage of terms: industrial policy, innovation systems and innovation policy: New National System of Innovation?

More than two centuries ago, Alexander Hamilton in the early United States and Friedrich List in Germany developed concepts that today could be described as early forms of National Systems of Innovation (NSI). In modern times, the NSI framework was developed by Lundvall, Nelson, and Freeman who agreed that: “A system of innovation is constituted by the elements and relationships which interact in the production, diffusion and use of new, and economically useful, knowledge … inside the borders of a nation state”.

The NSI framework remains relevant for understanding how innovation policy thinking has evolved in some countries over time. As illustrated by long-run trends in search interest, concepts such as “innovation system” and “innovation policy” have gained visibility particularly since the late 1990s and early 2000s, reflecting their growing use in academic and policy debates.

An analysis of Google Ngram Viewer data, on April 2026, reveals a significant decline in the usage of the term “industrial policy” in English-language publications from the mid-1990s until approximately 2010. Since then, however, the term has experienced some resurgence. This recent surge is notably more pronounced and abrupt than the more gradual trends observed for related concepts like “innovation systems” or “innovation policy,” suggesting a broader scholarly and policy re-engagement with state-led economic coordination. See below:

More recent trends are also visible in Google Trends data, which reflects aggregate search activity (see next chart). Although these terms show no sustained rise in interest over recent years, there was a clear spike in searches during June–July 2025. This peak, likely catalyzed by significant policy announcements from the Trump administration -including unprecedented tariffs, trade policies, and hostile geopolitical posturing for many nations- created an explosive growth for all three terms, with “industrial policy” leading.

Collectively, these trends indicate that contemporary economic policy debates are increasingly characterized by a fusion of systemic innovation perspectives with more direct new industrial policy instruments. This convergence raises critical questions for governance and coordination, particularly regarding the integration of innovation policy frameworks, traditional industrial policy tools, and mission-oriented approaches (Mazzucato, 2025) for national economic development and resilience. Perhaps this could support the idea of a “new” NSI rising?

This blog post is based on the conference paper: Freire-Gibb, C., De Fuentes, C., Christensen, J., & Earl, L. (2026, June 24-26). Revisiting National Systems of Innovation in the SDG Era (2016–2026). [Paper presentation]. NACLICS Conference, Bridgetown. 

References

Chaminade, C., Lundvall, B.-Å., & Haneef, S. (2018). Advanced introduction to national innovation systems. Edward Elgar Publishing.

Christensen, J. L., & Fagerberg, J. (2021). The emergence of innovation policy as a field: The international context and the Danish experience. In J. L. Christensen, B. Gregersen, J. R. Holm, & E. N. Lorenz (Eds.), Globalisation, new and emerging technologies, and sustainable development. Routledge.

Freeman, C. (1992). The economics of hope: Essays on technical change, economic growth and the environment. Pinter Publishers.

Lundvall, B.-Å. (Ed.). (1992). National systems of innovation: Towards a theory of innovation and interactive learning. Pinter Publishers.

Mazzucato, M. (2025). Mission-oriented policy: From fixing markets to shaping markets and debunking myths about the state. Cambridge Journal of Regions, Economy and Society, Article rsaf024. https://doi.org/10.1093/cjres/rsaf024

Niosi, J. (2000).  Canada’s national system of innovation. McGill-Queen’s Press-MQUP.