It isn't that innovation necessarily comes from academia, but that academia is a reflection of how wealthy and educated the population is. Innovation comes from the wealthy and the educated. So as china gets wealthier, they will innovate more.
> It is a general observation that east asian cultures tend to suppress risk-taking and innovation.
That's an "observation" based on racism and nonsense.
> just that overall there may be asymmetry.
Based on what evidence? It's just silly things people say - "The west is more individualistic". A society based on "white supremacy" is "individualistic"? How is basing one's ideology on "race - a genetic/communal" concept individualistic.
All these things are essentially nonsense created by people who want to sell books/etc. There is no truth.
You could write a book saying the west is collectivistic and china is individualistic by cherrypicking any data.
> So, have all the smartest people you want, doing all the research you want; but if they have no pressure to put that research to practice, nor a desire or support to take the risks associated with implementation then you might as well have nobody doing anything.
What makes you think they won't?
Greed works on the chinese as much as westerners. The things you need to "innovate" are wealth and security. Innovation is a luxury. The chinese will innovate as they get wealth and security.
The chinese are risk averse and yet they love gambling. They are risk averse and chinese have immigrated all over the world.