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As technology and the economy are closely related, a factor undermining Mexico s economic performance may be the lack of a coordinated technology and innovation policy. This book examines the relationships between three main participants in the national system of innovation: government, firms and financial institutions. Among the different government policy tools, this work focuses on the financing of private firms technology projects, in particular small and medium-size enterprises (SMEs). Usually, SMEs do not have internal resources for research and development (R&D) activities, and banks tend to be reluctant to fund technology projects. Therefore, this book makes the case for government intervention, while suggesting more suitable actions for change. It is a recommended reading for those interested in the fields of technology and innovation policy, innovation systems, SMEs, government-private sector relationships, and emerging economies studies like the case of Mexico. Policymakers, academic researches, entrepreneurs, and anyone actively involved in technology/innovation activities will benefit from the findings and conclusions of this book.