Technology-push, demand-pull and spillover from the major market demand: The case of the United States wind power market

This study aims to examine the technology-push and demand-pull hypotheses developed for a wind power industry. The wind power industry plays an important role in society as an emerging sustainable technology with strong social supports. Using patents as a proxy for a technology-push factor and the United States wind power net generation as a proxy for a demand-pull factor from 2001 to 2018, this study shows that the technology development in the major market (e.g., United States) drives its domestic market demand, whereas the domestic market demand in the major market does not drive its domestic technology development. However, the global technology development drives the major market demand and the major market demand drives the global technology development bilaterally. These results enable us to infer a spillover effect from the major market demand, indicating global players benefit from the major market demand largely created by social and government supports in major market. These findings highlight the implications for policy makers pursing both environmental and industrial policy goals and for firm managers attempting to enhance competitiveness in the wind power market.