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ABSTRACT This paper presents a critical survey of the various methodologies dealing with intersectoral flows of technology. Firstly, we present the indirect methods based on the Input‐Output tables which are employed for the study of embodied technology transfer, with an application to Italy for the year 1982. Secondly, we sketch a formalization of Scherer's direct methodology. This is the most ambitious study of the intersectoral flows of innovations based upon an exstensive survey of the origin and use of patented innovations: strengths and weaknesses of such approach are outlined and the main empirical results are presented. Finally, we give some indications for merging the two methodologies in a more comprehensive approach, in accordance to the present understanding of the reality of the process of innovation diffusion.
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