|
on Innovation |
| By: | Yeşim Gürel Üçdoğruk (Dokuz Eylul University, Department of Economics); Yılmaz Kılıçaslan (Anadolu University, Department of Economics) |
| Abstract: | Measuring the effects of innovative activities on firms’ productivity has been an active area for research for several decades, both as a policy concern and as a challenge for econometric applications. This paper attempts to analyze the relationship among innovation input, output and productivity in Turkish manufacturing firms through CDM model by adding ICT investments together with R&D as an input to innovation. The evidence is based on a panel data sample of Turkish manufacturing firms in the 2003–2010 period, constructed from the waves of the ‘Annual Manufacturing Industry Statistics’ and the four consecutive waves of ‘Community Innovation Surveys’. Regarding the model specification, the first step models the firm R&D decisions in terms of two equations: a selection equation and an intensity equation. The selection equation consists of R&D indicator variable that takes the value 1 if firm decides to perform R&D and explanatory variables affecting R&D decision. The intensity equation consists of firm’s innovative effort and a set of determinants of R&D expenditure. These two equations are estimated by using Heckman selection method. The second step models the firm innovation activity by innovation equation including ICT investment intensity and the latent innovation effort proxied by the predicted value of R&D intensity from the first step model. This equation is estimated as a bivariate probit model, assuming that most of the firm characteristics that affect product and process innovation are the same, although of course their impacts may differ. The last step estimates the productivity equation that is specified as a simple Cobb–Douglas technology with constant returns to scale, and with labor, capital and knowledge inputs, where we have “labor productivity” (real sales per employee, in logs); “investment intensity” that is our proxy for physical capital and “knowledge inputs” that are proxied by the predicted probability of product and process innovation. |
| Keywords: | R&D, ICT, innovation, productivity, Turkey |
| JEL: | L60 O31 O33 |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:eyd:cp2015:31&r=ino |
| By: | Ross Levine; Chen Lin; Lai Wei |
| Abstract: | This paper assesses whether legal systems that protect outside investors from corporate insiders increase or decrease the rate of technological innovation. Based on over 75,000 industry-country-year observations across 94 economies from 1976 to 2006, we find that enforcing insider trading laws spurs innovation—as measured by patent intensity, scope, impact, generality, and originality. Consistent with theories that insider trading slows innovation by impeding the valuation of innovative activities, the relationship between enforcing insider trading laws and innovation is much larger in industries that are naturally innovative and opaque, and equity issuances also rise much more in these industries after a country starts enforcing its insider trading laws. |
| JEL: | G14 G18 O3 O47 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:21634&r=ino |
| By: | Bhaven Sampat; Heidi L. Williams |
| Abstract: | We investigate whether patents on human genes have affected follow-on scientific research and product development. Using administrative data on successful and unsuccessful patent applications submitted to the US Patent and Trademark Office, we link the exact gene sequences claimed in each application with data measuring follow-on scientific research and commercial investments. Using this data, we document novel evidence of selection into patenting: patented genes appear more valuable — prior to being patented — than non-patented genes. This evidence of selection motivates two quasi-experimental approaches, both of which suggest that on average gene patents have had no effect on follow-on innovation. |
| JEL: | I10 I18 O34 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:21666&r=ino |
| By: | Ceren Ozgen (VU University Amsterdam); Cornelius Peters (IAB); Annekatrin Niebuhr (Christian-Albrechts-Universitat zu Kiel); Peter Nijkamp (VU University Amsterdam); Jacques Poot (University of Waikato) |
| Abstract: | Increasing international labor migration has important effects on the workforce composition of firms in all migrant-receiving countries. The consequences of these changes for firm performance have attracted growing attention in recent years. In this paper, we focus explicitly on the impact of cultural diversity among migrant employees on the innovativeness of firms. We briefly synthesize empirical evidence from a range of contexts across Europe, North America, and New Zealand. We then utilize two unique and harmonized linked employer–employee datasets to provide comparative microeconometric evidence for Germany and the Netherlands. Our panel datasets contain detailed information on the generation of new products and services, determinants of innovation success, and the composition of employment in establishments of firms over the period 1999 to 2006. We find that innovation in both countries is predominantly determined by establishment size and industry. Moreover, obstacles encountered and organizational changes faced by firms drive innovation too. With respect to the composition of employment, the presence of high-skilled staff is most important. Cultural diversity of employees has a positive partial correlation with product innovation. The size and statistical significance of this effect depends on the econometric model specification and the country considered. We conclude from the literature synthesis and the new comparative evidence that cultural diversity of employees can make a positive, but modest and context dependent, contribution to innovation. |
| Date: | 2014–12 |
| URL: | http://d.repec.org/n?u=RePEc:nor:wpaper:2014009&r=ino |
| By: | Arzdar Kiracı (Siirt University, Department of Economics) |
| Abstract: | This paper presents a parametric Cournot type of game theoretic model that uses Rogers’ Diffusion of Innovations Theory to construct a model that simulates the strategic interaction between firms. The constructed model simulates the strategic interaction of old economy firms that compete with the adoption of an innovative information and communication technologies based product, which is produced by a monopolistic New Economy firm. The model incorporates the accelerated product innovation process, globalization and interaction of firms in competitive environment. This paper confirms the expected result that innovator firms gain by adopting profitable New Economy products; however, surprisingly, under some circumstances market competition might decrease even when there is globalization. It is proven that this result is valid for markets with large (customer) demands when firms of the New Economy that produce innovative products charge high prices for their products. Firms of the New Economy that produce innovative products are given the privilege to be monopolists for the duration of their patent, but according to the findings of this paper they need to be regulated by competition authorities. |
| Keywords: | Game Theory, Cost structure, New Economy, Globalization, Competition, Innovative Product |
| JEL: | C72 O14 O33 D42 L11 |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:eyd:cp2015:304&r=ino |
| By: | Ceren Ozgen (VU University Amsterdam); Peter Nijkamp (VU University Amsterdam); Jacques Poot (University of Waikato) |
| Abstract: | An important question for firms and policymakers is whether the recruitment of foreign workers can boost innovation. Migration studies have demonstrated positive economic impacts of cultural diversity on productivity and innovation at the regional level, but the impacts at firm level are less well known. Merging data from four different sources, provided by Statistics Netherlands, we construct and analyze a unique linked employer-employee micro dataset of 4582 firms that includes qualitative information on firm innovation. We consider both the number of immigrants these firms employ and their cultural diversity. Potential endogeneity of migrant employment is addressed by an instrumental variables approach that accounts for the past geographic distribution of immigrants and the past culinary diversity of the municipality the firm is located in. We find robust evidence that firms employing relatively more migrants are less innovative. However, there is evidence of integration in that this effect is generall less strong or even absent for second generation immigrants. Moreover, firms employing a more diverse foreign workforce are more innovative, particularly in terms of product innovations. The benefits of diversity for innovation are more apparent in sectors employing relatively more skilled immigrants. |
| Keywords: | Immigration,Innovation,Cultural diversity, Knowledge spillovers,Netherlands |
| JEL: | D22 F22 O31 |
| Date: | 2013–12 |
| URL: | http://d.repec.org/n?u=RePEc:nor:wpaper:2013026&r=ino |
| By: | MOTOHASHI Kazuyuki; Byeongwu KANG |
| Abstract: | The Tsukuba Innovation Arena (TIA-nano) was established as an "innovation platform" by public research institutes (PRI) and private firms for joint nanotechnology research and development activities. It is a virtual network comprised of the National Institute of Advanced Industrial Science and Technology (AIST) and other PRIs in the Tsukuba area. In this study, the activities of AIST in two specific technology areas—carbon nanotubes (CNT) and power electronics (SiC devices)—are chosen from a variety of research areas under the framework of TIA-nano, in order to draw some policy implications for project management of industrial collaborations. It is found that AIST has collaborated increasingly more with firms particularly after its incorporation in 2002. In addition, we find that it role as an innovation platform is different between CNT and SiC in that it is important to proceed with CNT projects for firms by using open intellectual property (IP) policies, while for SiC projects, a vertical coordination role is more important for AIST. |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:eti:rpdpjp:15014&r=ino |
| By: | Erik G. Hurst; Benjamin W. Pugsley |
| Abstract: | The nonpecuniary benefits of managing a small business are a first order consideration for many nascent entrepreneurs, yet the preference for business ownership is mostly ignored in models of entrepreneurship and occupational choice. In this paper, we study a population with varying entrepreneurial tastes and wealth in a simple general equilibrium model of occupational choice. This choice yields several important results: (1) entrepreneurship can be thought of as a normal good, generating wealth effects independent of any financing constraints; (2) nonpecuniary entrepreneurs select into small-scale firms; and (3) subsidies designed to stimulate more business entry can have regressive distributional effects. Despite abstracting from other important considerations such as risk, financing constraints, and innovation, we show that nonpecuniary compensation is particularly relevant in discussions of small businesses. |
| Keywords: | entrepreneurship, non-pecuniary benefits |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:cen:wpaper:15-34&r=ino |
| By: | Ivana Komarkova (CARSA); Johannes Conrads (CARSA); Antonio Collado (CARSA) |
| Abstract: | Entrepreneurship is recognized by the European Union as one of the eight key competences for lifelong learning, and thus necessary for all members of a knowledge-based society. It is also regarded as an enabler for economic recovery, growth, job creation, employment, inclusion, poverty reduction, and also innovation and productivity. As such, it has become a policy priority and measures have been taken to incorporate entrepreneurship into different policy fields, including education. Education and training systems across Europe are indeed taking entrepreneurship progressively into account. This report presents 10 case studies, which address how entrepreneurship as a key competence is taught and learnt in real settings across all levels of education (i.e. primary, secondary, tertiary) and learning contexts (i.e. formal, non-formal and informal) in Europe. The in-depth analysis of the 10 cases was carried out through several rounds of desk research, direct enquiries and face-to-face or telephone interviews, and expert consultation. This comparative analysis highlights similarities and differences in the development of entrepreneurship competence in terms of pedagogical approaches, assessment practices, evaluation strategies, impact, factors of transferability and sustainability. This report is an interim output of the JRC-IPTS funded study 'Entrepreneurship Competence: An overview of existing concepts, policies and initiatives (OvEnt)' conducted by CARSA. The OvEnt study is part of the wider research agenda of JRC-IPTS on 'ICT for Learning and Skills' that aims to provide evidence on how skills and key competences that our digital society needs are acquired, certified and recognised. |
| Keywords: | Entrepreneurship Competence, Sense of initiative and entrepreneurship, Entrepreneurship education, Lifelong learning, key competences, reference framework, literature review, inventory, case studies |
| JEL: | I20 Z00 J24 J20 J29 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc96180&r=ino |
| By: | Begüm Erdil Şahin (Istanbul Kultur University) |
| Abstract: | In the world of globalization, economic growth is associated with the amount of innovation created. The expenditures on new product development thus R&D is the main factor for the economic growth of both developed and developing countries. R&D expenditures are in the center of new growth theories. The countries that produce technologically advanced products have the ability to compete internationally and show progress in production levels and qualities. The purpose of this study is to explore the relationship between R&D expenditures and economic growth using panel data analysis. As a result of the analysis, covering 15 OECD countries for the period between 1990 and 2013, a positive relationship has been determined between R&D expenditures and economic growth. |
| Keywords: | R&D Expenditures, Economic Growth, Panel Data Analysis |
| JEL: | O10 O30 O40 |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:eyd:cp2015:207&r=ino |
| By: | Mafini Dosso (European Commission – JRC - IPTS); Antonio Vezzani (European Commission – JRC - IPTS) |
| Abstract: | This paper sheds new lights on the internationalization of technological activities of the top corporate R&D investors worldwide. In particular, we provide evidence on the technological factors determining their international R&D location strategies. The empirical analysis is based on the patenting activities of the top R&D investors, as reported by the EU Industrial R&D Investment Scoreboard, at the USPTO over the period 2010–2012. The technological proximity to the host country in which these companies seek for new knowledge is a key determinant for their R&D location decision. However, technological proximity has a non-linear effect on the companies' location strategies as they search for new technologies not too close to their knowledge base. Furthermore, top R&D investors worldwide target countries with comparative advantages in emerging technologies. Countries willing to attract high-value investments should create an environment conducive to the creation and development of brand new ideas with a high potential impact on the long term growth. |
| Keywords: | International Knowledge seeking, Multinational Corporations (MNCs), Patents, Emerging technologies, Technological proximity |
| JEL: | O30 F23 L20 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:wpaper:201509&r=ino |
| By: | Chiara Pancotti (CSIL Centre for Industrial Studies); Emanuela Sirtori (CSIL Centre for Industrial Studies); Silvia Vignetti (CSIL Centre for Industrial Studies) |
| Abstract: | A debated policy issue is how to combine the excellence goals chased by Research and Innovation (R&I) policies and the need to reduce regional disparities as of the EU Cohesion Policy priorities. In other words there is a tension between concentrating funds in core and well-endowed urban areas, in order to reach economies of scale and scope, or rather favouring less endowed, peripheral and economically weaker regions, which could be less prepared to achieve excellence in innovation and research. A way to address this trade-off has been proposed by the recent smart specialisation approach. This approach admits the possibility for any region to generate innovation, by leveraging its own strengths and competitive advantages and selectively targeting its place-based R&I strategy on those economic activities in which the region can hope to excel. However, the conditions which could actually ensure a synergic relation between different policies aiming at enhancing European competitiveness, overcoming possible obstacles and tensions, still have to be explored. This paper aims at providing some insights on how and at which conditions regional innovation policies can be effective in promoting both excellence and cohesion objectives in lagging behind EU regions. To this end, the case of the regional innovation policy carried out by Apulia region (Southern Italy) is presented. The experience of Apulia indicates that there is scope for lagging behind regions to develop well-designed regional innovation systems, supporting the development and implementation of far reaching innovation strategies adapted to the specific needs and assets of regional economy. At the same time, there is a pressing need to develop novel practices of governance in particular as regards avoiding demand-driven approach which adapts excessively to the perspectives of local firms and can be more easily (and in difficult circumstances perhaps even necessarily) prone to short termism. This paper critically describes elements of strengths and weaknesses observed within the case study of Apulia region, to produce lessons learned of more general relevance. |
| Keywords: | smart specialisation, place based, cohesion policy, regional innovation system |
| JEL: | O25 O38 R58 |
| Date: | 2015–09–01 |
| URL: | http://d.repec.org/n?u=RePEc:mst:wpaper:201501&r=ino |
| By: | José Fernández Donoso (School of Business and Economics, Universidad del Desarrollo) |
| Abstract: | This paper studies the relation between foreign intellectual property rights affect exporting firms' productivity when industries have different technological complexity. Using simple functional forms, the dynamic model derives endogenous steady state distributions of exporting firms' productivity. Numerical simulations show a non-monotonic effect of complexity on productivity, and a positive effect of IPR. Empirical evidence using labor productivity measures support the findings of the theoretical model |
| Keywords: | Export-led growth, Intellectual Property Rights, Imitation, Patents, Productivity |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:dsr:wpaper:23&r=ino |
| By: | Pavla Žížalová (Independent Expert) |
| Abstract: | In the frame of the Stairway to Excellence project, complex country analysis was performed for the EU MS that joined the EU since 2004, with the objective to assess and corroborate all the qualitative and quantitative data in drawing national/regional FP7 participation patterns, understand the push–pull factors for FP7/H2020 participation and the factors affecting the capacity to absorb cohesion policy funds. This report articulates analysis on selected aspects and country-tailored policy suggestions aiming to tackle the weaknesses identified in the analysis. The report complements the complex qualitative/ quantitative analysis performed by the IPTS/KfG/S2E team. In order to avoid duplication and cover all the elements required for a sound analysis, the report builds on analytical framework developed by IPTS. |
| Keywords: | Research and Innovation, EU Framework Programme for Research and Innovation, Horizon 2020, Cohesion policy, Structural Funds, SF, ERDF, European Regional Development Fund, European Structural & Investment Funds, ESIF, quality of governance, evaluation and monitoring mechanisms. |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc97217&r=ino |
| By: | Devicienti, Francesco (University of Turin); Grinza, Elena (University of Turin); Vannoni, Davide (University of Turin) |
| Abstract: | In this paper, we explore the impact of part-time work on firm productivity. Using a large panel data set of Italian corporations' balance sheets for the period 2000-2010, we first estimate the total factor productivity (TFP) of each firm for each year. We use different approaches aimed at solving input simultaneity, including a version of Ackerberg et al.'s (2006) control function approach, which accounts for firm fixed effects. We then match the TFP estimates with rich information on the firms' use of part-time work obtained from survey data and estimate the impact of part-time work on TFP at the firm level. We find that an increase of 1 standard deviation in the part-time share reduces TFP by 2.03%. The results suggest that this harmful effect stems from horizontal rather than vertical part-time arrangements. We also find that firms declaring that they use part-time work to accommodate workers' requests suffer the most. Moreover, we show that the so-called 'flexible' and 'elastic' clauses are successful in reducing the negative impact associated with part-time work. |
| Keywords: | part-time work, horizontal and vertical part-time contracts, flexible and elastic clauses, firm total factor productivity (TFP), semiparametric estimation methods |
| JEL: | L23 L25 J23 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp9463&r=ino |
| By: | Eaton, Derek |
| Abstract: | This paper analyzes the effects of varying appropriability or strength of IPRs for agricultural seeds. The paper is motivated by the agricultural sector in which an innovator uses genetic resources to produce new crop varieties to be marketed to a farm sector that exhibits heterogeneity in its ability to profit from the innovation. Farmers are modelled as heterogeneous producers, purchasing seed from an innovating monopolist in a vertical product differentiation framework. The effects of IPRs on innovation are endogenized and the welfare of consumers assessed through the price for food. The theoretical analysis reveals some novel aspects of the traditional innovation versus diffusion tradeoff. Less productive producers, and also consumers, are better off with a moderate level of appropriability and lower level of innovation. The model is extended to a two country setting consisting of North and South. |
| Keywords: | innovation, intellectual property, product differentiation, trade, Crop Production/Industries, Q16, L13, F12, |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iaae15:211581&r=ino |
| By: | Kiminori Matsuyama (Department of Economics Northwestern University); Iryna Sushko (Institute of Mathematics, National Academy of Science, Ukraine); Laura Gardini (Facoltà di Economia Università degli Studi di Urbino) |
| Abstract: | We propose and analyze a two-country model of endogenous innovation cycles. In autarky, innovation fluctuations in the two countries are decoupled. As the trade costs fall and intra-industry trade rises, they become synchronized. This is because globalization leads to the alignment of innovation incentives across firms based in different countries, as they operate in the increasingly global (hence common) market environment. Furthermore, synchronization occurs faster (i.e., with a smaller reduction in trade costs) when the country sizes are more unequal, and it is the larger country that dictates the tempo of global innovation cycles with the smaller country adjusting its rhythm to the rhythm of the larger country. These results suggest that adding endogenous sources of productivity fluctuations might help improve our understanding of why countries that trade more with each other have more synchronized business cycles. |
| Keywords: | Endrogenous innovation cycles and productivity co-movements, globalization, home market effect, synchronised vs. asynchronised cycles, synchronisation of coupled oscillators, basins of attraction, two-dimensional piecewise smooth, noninvertable maps |
| JEL: | C61 E32 F12 F44 O31 |
| Date: | 2014–12 |
| URL: | http://d.repec.org/n?u=RePEc:cfm:wpaper:1527&r=ino |
| By: | José Eustáquio Ribeiro Vieira Filho |
| Abstract: | As mudanças tecnológicas, quando analisadas de forma exógena, seriam representadas por deslocamentos para cima da curva ou fronteira de produção. A abordagem evolucionária do crescimento econômico surge como alternativa de estudo da mudança tecnológica endógena e dinâmica, tendo a acumulação de capital papel estratégico ao longo do tempo. O presente estudo se propõe a fazer uma revisão da literatura, analisando a modelagem evolucionária da dinâmica industrial. Cabe ressaltar que o trabalho está dividido em duas partes. A primeira, abordada neste Texto para Discussão (TD), procura focar os principais modelos que tratam da competição schumpeteriana, dos regimes tecnológicos e da difusão dos novos conhecimentos. A segunda, que será tratada em outro TD, busca o estudo dos modelos que tratam das trajetórias tecnológicas, da capacidade de absorção e do aprendizado. Tais conceitos são essenciais para o entendimento da inovação tecnológica na economia e na corrente neoschumpeteriana. Technological changes, when taken exogenously, would be represented by upward shifts in the production curve. The evolutionary approach of economic growth is an alternative to study technological change as endogenous and dynamic process, in which the accumulation of capital takes strategic role over time. This study aims to review the literature, analyzing evolutionary modeling of industrial dynamics. This work is divided into two parts. The first, addressed in this study, focus on the main models that treat the Schumpeterian competition, technological regimes and diffusion of new knowledge. The second, which will be analyzed in another paper, intend to explain technological trajectories, absorptive capacity and learning processes. These concepts are essential to understand the innovation in the economy and in the neo-schumpeterian thinking. |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:ipe:ipetds:2144&r=ino |
| By: | KINUKAWA Shinnya; TANAKA Tatsuo; NISHIO Koji; MOTOHASHI Kazuyuki |
| Abstract: | In this paper, we construct a conceptual framework to understand innovations using big data analysis. Using this framework, some quantitative trend analysis by applying the cases listed in "The Big Data Report" (Nikkei BP) was conducted. In addition, we selected representative cases from the list—Komatsu, Nihon-Chozai, and Lawson Innovation Laboratory—to conduct detailed case studies. We find that increasingly more firms use external datasets for their innovation, while the "open innovation" type— innovation by collaborating with external firms—does not increase over time. In addition, three-quarters of all cases are for increasing existing business efficiency, instead of creating new services. In order to facilitate big data innovation, the commitment of top management at firms is important. In addition, some policy implications are found in the areas of privacy and standardization of data transactions. |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:eti:rpdpjp:15015&r=ino |
| By: | Steven M. Helfand; Marcelo M. Magalha?es; Nicholas E. Rada |
| Abstract: | The role of farm size has recently come to the forefront of agricultural development debates. Agricultural development policy often focuses on small farms given evidence of their role in poverty reduction and of higher yields. Yet policy has also focused on large farms due to their share of output, efficiency gains from vertical and horizontal integration, and potential employment generation. Brazil offers an interesting case study because of its wide spectrum of farm sizes and the country's dual agricultural policy focus towards large commercial agribusiness enterprises, led by the Ministry of Agriculture, and family farms, led by the Ministry of Agrarian Development. Our purpose is to examine the role that farm size may have in Brazil's agricultural total factor productivity (TFP) growth, which has accelerated at one of the world's fastest rates over the last twenty years. The data are drawn from the agricultural censuses of 1985, 1995-96, and 2006, aggregated at the municipality level into five farm-size classes. The findings of this study point to heavy technical efficiency losses across all size classes, creating a substantial drag on national agricultural TFP growth. Moreover, because farms in the middle of the size distribution achieved the slowest technical change and TFP growth bookended by faster growth in the smallest and largest farm-size classes we identify an unexpected and unexplored source of inefficiency, namely medium-sized farms. |
| Keywords: | Agricultural technology adaptation, Agricultural technology transfer, Agricultural information, Agricultural policy, Agricultural productivity, agricultural productivity, Agricultural Policy, Land Tenure, Brazil |
| Date: | 2015–09 |
| URL: | http://d.repec.org/n?u=RePEc:idb:brikps:91256&r=ino |
| By: | Mekonnen, Daniel; Gerber, Nicolas |
| Abstract: | Previous studies on innovation in agriculture focus mainly on identifying observable and resource related deprivation or ‘external’ constraints. Yet, related literature suggests that ‘internal’ constraints, such as lack of aspirations, could reinforce external constraints and this may lead to a self-sustaining trap of poverty and lack of proactive behavior. Since both aspirations and innovations are future oriented they are likely to be intimately linked. Aspirations are motivators which can enhance innovations. On the other hand, aspirations are also affected by one’s level of achievement implying that aspirations and innovations are simultaneously determined. To identify the effect of aspirations on adoption of agricultural innovations, we conduct both plot level and household level analysis using a purposely collected data from sample households in rural Ethiopia. Using econometric strategies that account for the endogenous nature of the variable of interest, we find that low aspirations (and having very-narrow/wide aspirations gap) are strongly associated with low innovativeness of farm households and low adoption of innovation products such as improved seed, and low involvement in row-planting and sustainable natural resource management practices. Results suggest that the effect of aspirations is stronger on the intensity of use of innovations (e.g. fertilizer use per hectare of land) than its effect on access to or use of individual innovations if those innovations are widely adopted in the study areas. We also find other internal factors such as self-esteem, internal locus of control, trust in others, subjective wellbeing, and perception on causes of poverty to be strongly correlated with aspirations and expectations. |
| Keywords: | Aspirations, innovations, agriculture, Ethiopia, Agribusiness, International Development, |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iaae15:211680&r=ino |
| By: | Gundars Kulikovskis (Independent Expert) |
| Abstract: | In the frame of the Stairway to Excellence project, complex country analysis was performed for the EU MS that joined the EU since 2004, with the objective to assess and corroborate all the qualitative and quantitative data in drawing national/regional FP7 participation patterns, understand the push–pull factors for FP7/H2020 participation and the factors affecting the capacity to absorb cohesion policy funds. This report articulates analysis on selected aspects and country-tailored policy suggestions aiming to tackle the weaknesses identified in the analysis. The report complements the complex qualitative/ quantitative analysis performed by the IPTS/KfG/S2E team. In order to avoid duplication and cover all the elements required for a sound analysis, the report builds on analytical framework developed by IPTS. |
| Keywords: | Research and Innovation, EU Framework Programme for Research and Innovation, Horizon 2020, Cohesion policy, Structural Funds, SF, ERDF, European Regional Development Fund, European Structural & Investment Funds, ESIF, quality of governance, evaluation and monitoring mechanisms. |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc97530&r=ino |
| By: | Adrian Curaj (Independent Expert) |
| Abstract: | In the frame of the Stairway to Excellence project, complex country analysis was performed for the EU MS that joined the EU since 2004, with the objective to assess and corroborate all the qualitative and quantitative data in drawing national/regional FP7 participation patterns, understand the push–pull factors for FP7/H2020 participation and the factors affecting the capacity to absorb cohesion policy funds. This report articulates analysis on selected aspects and country-tailored policy suggestions aiming to tackle the weaknesses identified in the analysis. The report complements the complex qualitative/ quantitative analysis performed by the IPTS/KfG/S2E team. In order to avoid duplication and cover all the elements required for a sound analysis, the report builds on analytical framework developed by IPTS. |
| Keywords: | Research and Innovation, EU Framework Programme for Research and Innovation, Horizon 2020, Cohesion policy, Structural Funds, SF, ERDF, European Regional Development Fund, European Structural & Investment Funds, ESIF, quality of governance, evaluation and monitoring mechanisms. |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc97667&r=ino |
| By: | Christopher Goetz; Henry Hyatt; Erika McEntarfer; Kristin Sandusky |
| Abstract: | In this paper, we highlight the potential for linked employer-employee data to be used in entrepreneurship research, describing new data on business start-ups, their founders and early employees, and providing examples of how they can be used in entrepreneurship research. Linked employer-employee data provides a unique perspective on new business creation by combining information on the business, workforce, and individual. By combining data on both workers and firms, linked data can investigate many questions that owner-level or firm-level data cannot easily answer alone - such as composition of the workforce at start-ups and their role in explaining business dynamics, the flow of workers across new and established firms, and the employment paths of the business owners themselves. |
| JEL: | J21 L26 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:21639&r=ino |
| By: | Alina Pohl |
| Abstract: | This research investigates eco-clusters as driver for greening regional economic policy and examines necessary incentive structures to foster eco-innovation as well as growth and employment in the eco-industry sector. Eco-clusters are seen in context with sustainability and environmental friendly behavior as means for a socio-ecological transition in the long run. The main hypothesis implies that eco-clusters have to be policy driven and established top-down and therefore differ from cluster structures in other industries. Possible reasons are uncertainty on a developing market as well as external effects of eco-innovations; the latter are seen as radical innovations. Based on theoretic findings for the establishment of clusters and general research findings for eco-clusters and eco-innovations, it is differentiated between a spontaneous cluster emergence from private initiatives through self-reinforcing forces of companies in a region (bottom-up), and the formation of a policy-driven network with primarily regional objectives to stimulate the competitive advantage of the regional industrial location (top-down). The hypothesis will be proofed by empirical results gained through personal interviews and complemented by findings in current research literature. Finally, implications for incentive structures to green economic policy are identified. It is shown that eco-clusters are different to other clusters and crucial for a long-term sustainable change and thus need political commitment and public incentives. For empirical observation, eco-clusters in Austria were selected. This research relates to the ongoing debate on green growth and develops policy incentives for establishment of eco-clusters and thus greening of economic policy. |
| Keywords: | Cluster Analysis, Ecological Cluster, Ecological Innovations, Regional Economic Policy, top-down vs. bottom-up |
| JEL: | C38 I31 O31 O44 Q01 Q55 Q58 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:feu:wfeppr:y:2015:m:10:d:0:i:27&r=ino |
| By: | George Strogylopoulos (Independent Expert) |
| Abstract: | In the frame of the Stairway to Excellence project, complex country analysis was performed for the EU MS that joined the EU since 2004, with the objective to assess and corroborate all the qualitative and quantitative data in drawing national/regional FP7 participation patterns, understand the push–pull factors for FP7/H2020 participation and the factors affecting the capacity to absorb cohesion policy funds. This report articulates analysis on selected aspects and country-tailored policy suggestions aiming to tackle the weaknesses identified in the analysis. The report complements the complex qualitative/ quantitative analysis performed by the IPTS/KfG/S2E team. In order to avoid duplication and cover all the elements required for a sound analysis, the report builds on analytical framework developed by IPTS. |
| Keywords: | Research and Innovation, EU Framework Programme for Research and Innovation, Horizon 2020, Cohesion policy, Structural Funds, SF, ERDF, European Regional Development Fund, European Structural & Investment Funds, ESIF, quality of governance, evaluation and monitoring mechanisms, Cyprus |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc97918&r=ino |
| By: | Jürgen Bitzer (University of Oldenburg, Department of Economics); Erkan Gören (University of Oldenburg, Department of Economics); Sanne Hiller (Ruhr University Bochum) |
| Abstract: | This paper explores the question of how immigrant employees affect a firm’s capacity to absorb foreign knowledge. Using matched employer-employee data from Denmark for the years 1996 to 2009, we are able to show that non-Danish employees from technologically<br>advanced countries contribute significantly to a firm’s total factor productivity (TFP) through their ability to access foreign knowledge. The empirical results suggest that the impact increases if the immigrants come from technologically advanced countries, are highly educated, and work in high-skilled positions. |
| Keywords: | R&D Spillovers, Absorptive Capacity, Firm-Level Analysis,<br>Foreign Workers, Immigrants |
| JEL: | D20 J82 L20 O30 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:old:dpaper:386&r=ino |
| By: | Laurent Bergé; Iris Wanzenböck; Thomas Scherngell |
| Abstract: | This paper aims at introducing a novel measure of regional centrality in the context of R&D networks. We first demonstrate some substantial problems of SNA-based centrality measures to cope with regional R&D networks in a meaningful way. Then, we introduce a new measurement approach of regional network centrality based on the concept of inter-regional bridging paths (indirect connections at the regional level). We show that the formal definition of our regional bridging centrality measure can be expressed in terms of three simple components: the participation intensity of a region in inter-regional R&D collaborations, the relative outward orientation in terms of all established links and the diversification of R&D collaborations among partner regions. We illustrate the measure and its behaviour with respect to other conventional centrality measures by using the European co-patent network at the NUTS 2 level. |
| Keywords: | network centrality of regions, inter-regional R&D networks, inter-regional bridges, aggregated networks, co-patent network |
| JEL: | D85 L14 O31 |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:grt:wpegrt:2015-31&r=ino |
| By: | Mustafa Can (Middle East Technical University) |
| Abstract: | Public procurement, which is a considerable part of the local demand, may have favorable effects on the national innovative capacity. But traditional public procurement model is quite far from encouraging innovative procurement. In this sense, this article mainly aims to discuss elements of a new model for public procurement which stimulates and facilitates procuring innovative goods and services. In the paper, we initially argue the importance of demand for innovation. Subsequently, we examine the public procurement process and put forth the rationales for applying innovative public procurement. Then, we compare the current point of views about the issue between EU and Turkey. At last, we propose a new model for public procurement process by considering the shortcomings of current model and conclude the paper with policy recommendations for future. |
| Keywords: | Public procurement, Innovation policy, Demand-Oriented innovation |
| JEL: | H57 L38 O32 O38 |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:eyd:cp2015:217&r=ino |
| By: | Michael Ewens (California Institute of Technology,); Ramana Nanda (Harvard Business School, Entrepreneurial Management Unit); Matthew Rhodes-Kropf (Harvard Business School, Entrepreneurial Management Unit) |
| Abstract: | We study adaptation by financial intermediaries as a response to technological change in the context venture-capital finance. Using a theoretical model and rich data, we are able to both document and provide a framework to understand the changes in the investment strategy of VCs in recent years - an increased prevalence of investors who "spray and pray" - providing a little funding and limited governance to an increased number of startups that they are more likely to abandon, but where early experiments significantly inform beliefs about the future potential of the venture. We also highlight how this adaptation by financial intermediaries has altered the trajectory of aggregate innovation away from complex technologies where initial experiments cost more towards those where information on future prospects is revealed quickly and cheaply. |
| Keywords: | Innovation, Venture Capital, Investing, Abandonment Option, Failure Tolerance |
| JEL: | G24 O31 |
| Date: | 2015–02 |
| URL: | http://d.repec.org/n?u=RePEc:hbs:wpaper:15-070&r=ino |
| By: | Karl Aiginger; Matthias Firgo |
| Abstract: | The term “competitiveness” has been used in conceptually distinct ways at the firm, regional and national levels. After primarily reviewing existing concepts at the national level, we introduce a new definition of regional competitiveness adapting definitions used in the academic literature. Specifically, we connect “outcome competitiveness” with new perspectives on a more socially inclusive and ecologically sustainable growth path, as envisaged in the WWWforEurope research program, in which 33 European research groups are taking part. Evaluating competitiveness requires both an input assessment (costs, productivity, economic structure, capabilities) and an outcome assessment. We define regional outcome competitiveness as the ability of a region to deliver Beyond GDP goals. For regions in industrialized countries, this ability depends on innovation, education, institutions, social cohesion and ecological ambition. Given this new perspective (of broader Beyond GDP goals), social investments and ecological ambitions should not be considered costs, but rather drivers of competitiveness. This is compatible with a new innovation policy fostering non-technical innovations and a new industrial policy supporting societal goals. Applying this concept to European regions, we show which regions take the "high road" to competitiveness and compare our results with the existing literature. |
| Keywords: | Regional competitiveness, Beyond GDP goals, composite index, European Union |
| JEL: | I31 O47 Q56 R11 R58 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:feu:wfeppr:y:2015:m:10:d:0:i:26&r=ino |
| By: | Esposti, Roberto; Materia, Valentina |
| Abstract: | This paper empirically analyses how a public institution chooses the cofinancing rate in funding competitive agricultural R&D research projects. The public funding institution observes some objective features of the selected research projects and of the proponents. The paper puts forward some testable hypotheses about how the funding institution uses this available information to decide the cofinancing rate. An empirical model is then specified and estimated to test these hypotheses. The empirical application refers to the real case of the agricultural R&D program funded by an Italian region (Emilia-Romagna) over years 2001-2006. Results suggest that the cofinancing rate actually responds to the observed features but this response is not always consistent with the formulated hypotheses. |
| Keywords: | Public R&D Funding, Agricultural R&D, Censored-Normal Regression., Agribusiness, Research and Development/Tech Change/Emerging Technologies, |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iaae15:211624&r=ino |
| By: | Susanna Ulinski |
| Abstract: | Social innovation is booming as a political buzzword. However, the concept still lacks scientific analysis, a common epistemology and a clear-cut definition. This thesis takes a step towards a better theoretical and conceptual understanding of corporate social innovation by detaching the concept from the government and NPO sector. It suggests defining social innovation by its social means and social ends. The term “social” not only refers to the non-material nature of innovation and its social process that modifies social practices, behaviour and relationships, but also relates to the achievement of socially desirable ends. The means and ends for corporate social innovation are further analysed in three case studies on carsharing, Fair Trade and diversity management of a multi-ethnic workforce. The analysis also shows that for-profit companies not only play an important role in the advancement of social innovations, but also that social innovations constitute a business opportunity. Moreover, the characteristics of (corporate) social innovations offer our society and economy the dynamics to adapt to social challenges in a complex environment. |
| Keywords: | Social innovation, corporate social innovation, Beyond GDP, institutional change, socio-ecological transition |
| JEL: | A14 D02 O39 M14 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:feu:wfeppr:y:2015:m:10:d:0:i:25&r=ino |
| By: | Karin Heitzmann; Florian Wukovitsch |
| Abstract: | This paper aims to shed light on the relative importance of the discourse on social investment and social innovation in Austrian social policy by examining their role in academic and civil society discussions and presenting some evidence of current empirical developments. It is shown that the idea of social innovation is increasingly being promoted by industry, the media and civil society. In terms of social investment, the perspective has only recently been taken up by some researchers and interest groups. Depending on its very definition, however, empirical data on social investment expenditures suggest – also in comparison with other conservative welfare states – increasing or decreasing trends of this type of social security expenditures in Austria. |
| Keywords: | social investment, social innovation, Austrian welfare state |
| JEL: | H55 I38 L31 O15 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:hdl:improv:1519&r=ino |
| By: | Colin Blackman (SCF Associates Ltd); Simon Forge (SCF Associates Ltd) |
| Abstract: | This report summarises the results of a study that was carried out by SCF Associates Ltd for the European Commission, Institute for Prospective and Technological Studies, Joint Research Centre, Seville, Spain. Key enabling technologies (KETs) could be a crucial part of the EU’s response to the economic crisis over the past decade. More jobs and growth are expected from investments in KETs, hoping they may lead to a more prosperous society through higher skills and wages, while expanding innovative high technology exports globally. Consequently, KETs, especially the five ICT KETs examined in the following chapters, should be seen as having a strategic social importance. The initiative will catalyse not only product innovation but also the industrial process. Moving from innovation to commercialisation in a three-pillar model (RDI, pilot lines, and then full commercialisation) is its fundamental advantage over previous innovation programmes. It may assure the success of the EU’s future global competitive position, as it can stimulate high levels of skilled employment. That should address many of the grand challenges facing European society and its economy. |
| Keywords: | ICT, KETs, R&D, Innovation, Commercialisation, Micro and Nano-Electronics, Nanotechnology, Photonics, Advanced Materials, Advanced Manufacturing Systems, EU |
| JEL: | O32 O33 O52 L60 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc94357&r=ino |
| By: | Tambo, Justice; Wunscher, Tobias |
| Abstract: | With numerous challenges hindering smallholders’ adoption of externally developed technologies, it is often argued that farmer innovation can play an essential role in rural livelihoods. Yet a rigorous assessment of the impact of farmer innovation is lacking. We address this issue by analyzing the effect of farmer innovation on household welfare, measured by income, consumption expenditure, and food security. Using household survey data from northern Ghana and applying endogenous switching regression, we find that farmer innovation significantly increases household income and consumption expenditure, and reduces food insecurity. However, we find that the positive productivity and income effects of farmer innovation do not significantly translate into nutritious diet, measured by household dietary diversity. Overall, our results show positive and significant welfare effects of farmer innovation, hence, support increasing arguments on the need to promote farmer innovation as a complement to externally promoted technologies in food security and poverty reduction efforts. |
| Keywords: | Farm Management, International Development, |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iaae15:211682&r=ino |
| By: | Roel van Elk; Bas ter Weel; Karen van der Wiel; Bram Wouterse; Bart Verspagen |
| Abstract: | This paper analyses the economic returns to public R&D investments in 22 OECD countries. We exploit a dataset containing time-series from 1963 to 2011 and estimate and compare the outcomes of different types of production function models. Robustness analyses are performed to test the sensitivity of the outcomes for particular model specifications, sample selections, assumptions with respect to the construction of R&D stocks, and variable definitions. Analyses based on Cobb-Douglas and translog production functions mostly yield statistically insignificant or negative returns. In these models we control for private and foreign R&D investments and the primary production factors. Models including additional controls, such as public capital, the stock of inward and outward foreign direct investment, and the shares of high-tech imports and exports, yield more positive returns. Our findings suggest that public R&D investments do not automatically foster GDP and TFP growth. The economic return to scientific research seems to depend on the specific national context. |
| JEL: | I23 O11 O40 O47 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:cpb:discus:313&r=ino |
| By: | Ivana Komarkova (CARSA); Dimitri Gagliardi (Independent researcher); Johannes Conrads (CARSA); Antonio Collado (CARSA) |
| Abstract: | This report presents the state of the art on the topic of entrepreneurship competence identifying and comparing different theoretical and practical approaches from the academic and entrepreneurial world. It draws on an extensive literature review, an inventory of selected initiatives and in-depth case studies. The report looks at different definitions, frameworks, components and other elements of entrepreneurship as a competence, and reflects upon entrepreneurship education, teaching and assessment methods used for entrepreneurial learning. This report is the final output of the JRC-IPTS funded study 'Entrepreneurship Competence: An overview of existing concepts, policies and initiatives (OvEnt)'; it is part of the wider research agenda of JRC-IPTS on 'ICT for Learning and Skills' that aims to provide evidence on how skills and key competences that our digital society needs are acquired, certified and recognised. |
| Keywords: | Entrepreneurship Competence, Sense of initiative and entrepreneurship, Entrepreneurship education, Lifelong learning, key competences, reference framework, literature review, inventory, case studies |
| JEL: | I20 Z00 J24 J20 J29 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc96531&r=ino |
| By: | Silva, Felipe; Braga, Marcelo; Garcia, Joao |
| Abstract: | As one of the main producers of corn and soybeans in the last three decades, Brazil’s expanded production could be explained by productivity enhancements that have occurred with the introduction of innovations in their seed markets. However, these markets also experienced a reconsolidation in the form of a market concentration. We aimed to test the hypothesis that there is an inverse relationship between these factors at the seed market. To test this hypothesis, we applied a GMM with instrumental variables to a theoretical framework. Results suggested that this link depends on market characteristics, such as in which year GMO were introduced. In the first period for corn, the relationship between these factors was direct, but after the GMO introduction, the relationship became inverse; alternatively, for soybeans, this dynamic was inverted. In addition, we found out that the public investment and propriety-rights regulations were important to determining the R&D intensity. |
| Keywords: | market concentration, R&D, seeds markets., Crop Production/Industries, Marketing, L130, |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iaae15:211563&r=ino |
| By: | Fiona Scott Morton; Carl Shapiro |
| Abstract: | The 2011 America Invents Act was the most significant reform to the United States patent system in over fifty years. However, the AIA did not address a number of major problems associated with patent litigation in the United States. In this paper, we provide an economic analysis of post-AIA developments relating to Patent Assertion Entities (PAEs) and Standard-Essential Patents (SEPs). For PAEs and SEPs, we examine the alignment, or lack of alignment, between the rewards provided to patent holders and their social contributions. Our report is mixed. Regarding PAEs, we see significantly improved alignment between rewards and contributions, largely due to a series of rulings by the Supreme Court. Legislation currently under consideration in Congress would further limit certain litigation tactics used by PAEs that generate rewards unrelated to contribution. We also see some notable developments relating to SEPs, especially with the recent reform to the patent policies of the IEEE, a leading Standard-Setting Organization (SSO) and with several recent court decisions clarifying what constitutes a Fair, Reasonable and Non-Discriminatory (FRAND) royalty rate. However, other steps that could better align rewards with contributions on the SEP front have largely stalled out, particularly because other major SSOs do not seem poised to follow the lead of the IEEE. Antitrust enforcement in this area could further improve the alignment of rewards and contributions. |
| JEL: | K21 L0 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:21678&r=ino |
| By: | Kazuyoshi Ohki (Graduate school of economics, Osaka University) |
| Abstract: | This paper develops a product-cycle model with costly technology transfer, which requires re- sources from both the North and the South. In the basic model , we show that strengthening IPR protection induces a large technology transfer and narrows the North-South wage gap. However, we obtain an ambiguous result regarding the effect on economic growth, which depends crucially on the size of the transfer cost. Although strengthening IPR protection induces a high growth rate when the transfer cost is small, it can induce a low growth rate when the transfer cost is large. In the extended model, in order to examine what factors determine the transfer cost, we consider the situation where the Southern firms may misbehave and the Northern firms incur a cost to monitor them. We show that the degree of investor protection and the degree of morality in developing countries influence the size of the transfer cost, which affects economic growth. |
| Keywords: | R&D, product-cycle model, technology transfer, IPR protection |
| JEL: | F12 F23 F43 O31 O34 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:osk:wpaper:1525&r=ino |
| By: | Georgiev, Nenad; Gjosevski, Dragon; Simonovska, Ana; Nacka, Marina |
| Abstract: | Building a recognizable brand for the Macedonian wine and higher values in intellectual property assets is the core for strengthening the wineries’ international market position. This paper attempts to identify Macedonian wineries’ opportunities to profit under competitive market conditions. Therefore, we first interpret evidence on determinants of their profitability, then we present their commitment towards intellectual property rights, and finally we describe a successful case of a winery that has a recognized brand internationally. The results indicated that wineries are not attractive investments if intensive marketing strategies in creation of strong brand equity are not strongly supported. The use of innovations, creativity and protection of intellectual property rights, could be successful strategy in increasing the opportunities to profit. The defined winery as distinctive case may be used as a guideline to reinforce wineries’ possibilities to follow future market signals, while struggling to adjust to the imposed market oriented production. |
| Keywords: | profitability strategy, marketing strategy, intellectual property rights, brand equity, competitive position., Marketing, Q13, |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iaae15:211650&r=ino |
| By: | Caner Demir (Ege University, Department of Economics); Aykut Lenger (Ege University, Department of Economics) |
| Abstract: | This study examines the effects of intellectual property protection on developing countries by using a three-pole global economy model. Although the classical North-South framework is a very useful method to represent the conflict between the developed and the developing world, the present study claims that it does not exactly reflect the heterogeneity within developing countries in some cases; such as intellectual property and technological production. Therefore, a three-pole world economy which consists of the following regions has been designed in this study; a region that only innovates high-technology goods (the North), a region that innovates low-technology goods and imitates northern high-technology goods (the East) and a region that only imitates eastern low-technology goods and northern high-technology goods that have been already imitated by eastern imitators (the South). This setup enables us to define the global imitation process as a chain system which allows southern region to imitate also the northern goods that have been imitated by eastern imitators before.To observe the effects of the possible policy choices, the theoretical model has been simulated. The results reveal firstly, northern region benefits from tighter intellectual property protection in any case; secondly, stronger IPR protections in the East reduces eastern imitation and enhances southern imitation sectors which target eastern imitation; thirdly, an IPR strengthening policy in the South certainly exerts negative effects in southern region while it brings benefit to eastern region in some aspects; e.g. relative wages. Particularly the third finding shows that the new three-pole approach on the analysis of intellectual property protection explicitly reflects the presence of an absolute conflict of interests within the developing world. Moreover, it proves that for developing countries with relatively low technological capacity there is no possibility of benefiting from tighter protection of the local intellectual property rights. |
| Keywords: | Intellectual Property Rights, Imitation, Innovation |
| JEL: | O34 O39 O19 |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:eyd:cp2015:6&r=ino |
| By: | Spielman, David; Kennedy, Adam |
| Abstract: | Public policies designed to promote seed industry growth in many developing countries are challenged as much by the nature of its primary consumers—small-scale, resource-poor farmers operating in highly fragmented markets—as by the legacy of the structural legacies of a largely public sector-driven system. Although policymakers introduced a wide range of seed policy reforms in many Asian countries as early as the 1980s and 1990s, there have been only a handful of substantive examples where reforms have effected significant change. One reason for slow progress may be that policymakers are insufficiently informed about the opportunities and trade-offs associated with designing laws and regulations that enable the effective governance of seed industry development. As a result, their decisions—and the analytical tools they rely on—tend to be informed by principles, rather than empirical considerations of seed industry development. This paper explores these issues in the context of Asia’s rapidly growing maize seed sector. The paper explores current gaps in the metrics used to analyze the level of competition and innovation in Asia’s maize industry, and more generally, in seed industries throughout much of the developing world. It provides a finite set of indicators designed to better measure competition and innovation in a country’s seed industry to improve research priority-setting and inform policymaking. In turn, it uses these indicators to characterize future scenarios for Asia’s maize seed industry and to recommend policies and investments that might accelerate further seed industry development in the region. |
| Keywords: | Seed systems, seed industry, maize, Asia, Crop Production/Industries, Q16, Q18, O31, O33, |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iaae15:211561&r=ino |
| By: | Ana Condeco-Melhorado (European Commission – JRC - IPTS); Aris Christodoulou (European Commission – JRC - IPTS); Panayotis Christidis (European Commission – JRC - IPTS) |
| Abstract: | This guide provides regions with information and guidelines useful for the development of smart specialisation strategies (RIS3) in transport. The guide follows the six steps for Smart Specialization with a special focus in transport. The six steps include the analysis of the regional context and potential for innovation, the discussion of governance structure, the development of a shared vision about the future of the region, approaches for the selection of transport related priorities for regional development, policy mixes and options for the integration of monitoring and evaluation mechanisms. The recommended process consists of a bottom-up analysis of regional capabilities of the industry and scientific community that needs to be aligned with national and European objectives. At the European level, the Strategic Transport Technological Plan (STTP) identifies ten innovation areas that will be extremely important for the future competitiveness of the transport sector. The guide also analyses different innovation area in the context of RIS3 methodology, showing specific examples and roadmaps on how these could be implemented in the regional innovation strategies. Finally tools are offered to analyse the innovation potential, performance and priorities in the transport sector, such as data and indicators regarding regional transport innovation, as well as methodologies to analyse innovation capabilities of European regions. |
| Keywords: | transport, industry, competitiveness, research |
| JEL: | L90 L99 R23 R40 R49 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc96777&r=ino |
| By: | Haile, Beliyou; Azzarri, Carlo; Roberts, Cleo; Spielman, David |
| Abstract: | Sustainable intensification and climate-smart agriculture initiatives promote complex systems-based innovations to simultaneously improve yields and conserve natural resources. These innovations are usually tested under near-perfect experimental conditions with purposively selected farmers. Using a quasi-experimental approach and geographic information system, we evaluate a systems-based sustainable intensification project in Malawi aiming at improving whole-farm productivity and nutrition through integrated agricultural innovations. We find adopters of these innovations to systematically differ from non-adopters and suggestive evidence of potential systematic targeting of project locations and households. Econometric results using efficient influence function and propensity score matching methods show consistently higher maize yield and value of harvest, on average and across quantiles, for project beneficiaries, compared to that of randomly selected non-beneficiary households in non-target villages. Our findings highlight the need to rethink selection criteria for systems-based innovations, something that could potentially bear severe implications upon scaling up. |
| Keywords: | Experiment, Evaluation, Innovation, Agriculture, Adoption, Policy, Agricultural and Food Policy, International Development, C93, D04, O31, Q01, Q16, Q18, |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iaae15:211697&r=ino |
| By: | Felipe S. Iachan; Plamen T. Nenov; Alp Simsek |
| Abstract: | Financial innovations in recent decades have vastly expanded investors' portfolio choice. We theoretically analyze the effect of these developments on investors' savings and asset returns. In our model, investors with possibly heterogeneous beliefs choose their savings portfolios. Under mild assumptions, we establish a choice channel by which greater portfolio choice increases investors' (perceived) return from saving, and induces them to save more. We then investigate the asset pricing implications of the choice channel, which depend on the type of financial innovation. Our main result shows that greater customization, which we capture with improved ability to trade risky assets other than the market portfolio, reduces the expected return on every asset. This result is consistent with the decline in the risk-free interest rate since the early 1980s, and is in contrast with the "precautionary savings" literature that would make the opposite prediction. Greater participation, which we capture with improved ability to trade the market portfolio, reduces the risk premia but typically increases the risk-free rate. We also analyze the effect of greater securitization, which we capture with a relaxation of constraints to issue risk-free promises in an environment in which there is a high demand for safe assets. |
| JEL: | E21 E43 E44 G11 G12 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:21686&r=ino |
| By: | Abhijit Banerjee; Sharon Barnhardt; Esther Duflo |
| Abstract: | A set of randomized experiments shed light on how markets and information influence household decisions to adopt nutritional innovations. Of 400 Indian villages, we randomly assigned half to an intervention where all shopkeepers were offered the option to sell a new salt, fortified with both iron and iodine (and not just iodine) at 50% discount. Within treatment villages, we conducted additional interventions: an increase in retailer margin (for one or several shopkeepers), the screening of an “edutainment” movie on the benefits of double-fortified salt, a flyer informing households of the product’s availability, and free distribution to a subset of households. We find that two interventions – showing the short film and offering an incentive to all shopkeepers – significantly increased usage: both by 5.5 percentage points, or over 50%, over take up without intervention, three years after launch. For comparison, only about half of households given the salt for free actually consumed it. |
| JEL: | I12 I15 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:21616&r=ino |
| By: | Meschi, Elena (Università Ca’ Foscari di Venezia); Taymaz, Erol (Middle East Technical University); Vivarelli, Marco (Università Cattolica del Sacro Cuore) |
| Abstract: | This paper studies the interlinked relationship between globalization and technological upgrading in affecting employment and wages of skilled and unskilled workers in a middle income developing country. It exploits a unique longitudinal firm‐level database that covers all manufacturing firms in Turkey over the 1992‐2001 period. Turkey is taken as an example of a developing economy that, in that period, had been technologically advancing and becoming increasingly integrated with the world market. The empirical analysis is performed at firm level within a dynamic framework using a 2+2 equations model that depicts the employment and wage trends for skilled and unskilled workers separately. In particular, the System Generalized Method of Moments (GMM‐SYS) procedure is applied to a panel dataset of about 15,000 firms. Our results confirm the theoretical expectation that developing countries face the phenomena of skill-biased technological change and skill‐enhancing trade, both leading to increasing the employment and wage gap between skilled and unskilled workers. In particular, a strong evidence of a relative skill bias emerges: both domestic and imported technologies increase the relative demand for skilled workers more than the demand for the unskilled. "Learning by exporting" also appears to have a relative skill biased impact, while FDI imply an absolute skill bias. |
| Keywords: | skill‐biased technological change, international technology transfer, GMM‐SYS |
| JEL: | O33 |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp9453&r=ino |