Coalitional cohesion in technology policy: The case of the early solar cell industry in the United States

• Published in: IDEAS Working Paper Series from RePEc
• Main Author: Ergen, Timur
• Format: Paper
• Language: English
• Published: St. Louis Federal Reserve Bank of St. Louis 01.01.2017
• Subjects: Photovoltaic cells; United States > US

The paper traces the rise and decline of solar cell commercialization efforts during the 1970s and early 1980s in the United States. It shows how technology policies for photovoltaic appliances gained and lost support in a time of increasing uncertainty about future resource supplies and the future of energy provision. Contrary to conventional explanations of the long history of failures to commercialize renewable energy technologies that emphasize path dependencies around established energy technologies, this paper explains the rise and decline of early solar cell policies from the perspective of internal sectoral developments. It demonstrates that cohesion among political economic supporters was critical for public perceptions of the intermediary success of the effort, to continuous investment by industry, and to the maintenance of political support. The paper suggests that support for new industries and technologies is dependent on sectoral order among supporting groups over time. The case of the early photovoltaics policies illustrates how the failure to keep groups unified and committed undermined the implementation of the technology policies, weakened the credibility of the developmental effort, and ultimately led to a decline in political support. The paper contributes to recent debates about the conditions of successful industrial and technology policies by demonstrating that network failures have an important political dimension if ruptures of sectoral cooperation feed back on state support for the respective industry or technology.