nep-ino New Economics Papers
on Innovation
Issue of 2017‒07‒16
twenty-one papers chosen by
Uwe Cantner
University of Jena

  1. Secular trends in innovation and technological change By Frietsch, Rainer; Schubert, Torben; Neuhäusler, Peter
  2. The Knowledge Spillover Theory of Intrapreneurship, Labour Mobility and Innovation by Firm Size By Braunerhjelm, Pontus; Ding, Ding; Thulin, Per
  3. The Role of Demand in Fostering Product vs Process Innovation: A Model and an Empirical Test By Dawid, Herbert; Pellegrino, Gabriele; Vivarelli, Marco
  4. Technology Network Innovation and Distribution By Jingong Huang
  5. Young Innovative Firms, Investment-Cash Flow Sensitivities and Technological Misallocation By Oscar Mauricio Valencia-Arana; Jose Eduardo Gomez-Gonzalez; Andrés Garcia-Suaza
  6. Transformative Social Innovation By Novy, Andreas
  7. A Spatial Analysis of Innovation in Europe By Tonnerre, Antoine
  8. A Note on Schumpeterian Competition in the Creative Class and Innovation Policy By Batabyal, Amitrajeet; Yoo, Seung Jick
  9. Ideas Production and International Knowledge Spillovers: Digging Deeper into Emerging Countries By Luintel, Kul B; Khan, Mosahid
  10. Evolution of the Global Knowledge Network: Network Analysis of Information and Communication Technologies’ Patents By Kibae Kim
  11. Credit Market Development and Firm Innovation: Evidence from the People’s Republic of China By Shang, Hua; Song, Quanyun; Wu, Yu
  12. Market participation, innovation adoption and poverty in rural Ghana By Pacillo, Grazia
  13. Mobile Phone Innovation and Environmental Sustainability in Sub-Saharan Africa By Simplice Asongu; Jacinta C. Nwachukwu
  14. Diffusion of Legal Innovations: The Case of Israeli Class Actions By Christoph Engel; Alon Klement; Karen Weinshall Margel
  15. Firms and trade in downturns By Di Ubaldo, Mattia
  16. Industrialization as a Deskilling Process? Steam Engines and Human Capital in XIXth Century France By Claude Diebolt; Charlotte Le Chapelain; Audrey-Rose Menard
  17. Education, Governance, Trade and Distance: Impact on Technology Diffusion and the East Asia-Latin America Productivity Gap By Schiff, Maurice
  18. Understanding Society Innovation Panel Wave 9: Results from Methodological Experiments By Benzeval, Michaela; Bianchi, Annamaria; Brewer, Mike; Burton, Jonathan; Cernat, Alexandru; Creighton, Mathew; Crossley, Thomas F.; Delavande, Adeline; Fisher, Paul; Gaia, Alessandra; Jäckle, Annette; Jamal, Amaney; Oberski, Daniel; Popham, Frank; Whitley, Elise; Winter, Joachim; Zafar, Basit
  19. Closed clubs: Cumulative advantages and participation in Horizon 2020 By Simen G. Enger
  20. On the Growth of Korean Technoparks By Albert, Link; U Yeong, Yang
  21. Entrepreneurship, Education and the Fourth Industrial Revolution in Africa By Naudé, Wim

  1. By: Frietsch, Rainer; Schubert, Torben; Neuhäusler, Peter
    Abstract: This paper deals with the question of changing relations between business R&D (BERD), patents and output measures like value added and productivity (macro level) as well as EBIT and market capitalization (micro level) to analyze long-term/secular effects of technological change at different levels. The results of the panel data reveal an increase of the patent numbers resulting from R&D expenditures. However, we also find a difference in the elasticities of BERD and patents between patent-intensive and non-patent-intensive sectors. In addition, the association between patents and labor productivity falls when all sectors are taken into account, implying decreasing contributions of technological progress to the productivity. Yet, the drivers are non-patent-intensive sectors, as we observe an increasing association of patents and labor productivity for patent-intensive sectors. The results of the enterprise panel data reveal similar results. The correlations between R&D and patents increased over the last 20 years, although it seems there is a concentration of R&D and patenting activities to a smaller amount of firms, which can partially be explained by the fact that research and development that is necessary for a single patent has become more and more expensive in the past years.
    Date: 2017
  2. By: Braunerhjelm, Pontus (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology); Ding, Ding (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology); Thulin, Per (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology)
    Abstract: Presenting The Knowledge Spillover Theory of Intrapreneurship, we examine how labour mobility impacts innovation distributed on firm size. A matched employer-employee dataset, pooled with firm-level patent application data, is implemented in the analysis. We provide new evidence that knowledge workers’ mobility has a positive and strongly significant impact on all firms’ innovation output, measured as patent applications. The patterns and effects differ between large and small firms. More precisely, for small firms, intraregional mobility of knowledge workers that have previously worked in a patenting firm (the learning-by-hiring effect) are shown to be statistically and economically highly significant, whereas only limited impact could be detected for firms losing knowledge workers (the-learning-by-diaspora effect).
    Keywords: Labour mobility; knowledge diffusion; innovation; social networks
    JEL: J24 O31 R23
    Date: 2017–07–13
  3. By: Dawid, Herbert (University of Bielefeld); Pellegrino, Gabriele (EPFL, Lausanne); Vivarelli, Marco (Università Cattolica del Sacro Cuore)
    Abstract: While the extant innovation literature has provided extensive evidence of the so-called "demand-pull" effect, the possible diverse impact of demand evolution on product vs process innovation activities has not been yet investigated. This paper develops a formal model predicting a larger inducing impact of past sales in fostering product rather than process innovation. This prediction is then tested through a dynamic microeconometric model, controlling for R&D persistence, sample selection, observed and unobservable individual firm effects and time and sectoral peculiarities. Results are consistent with the model and suggest that an expansionary economic policy may benefit the diffusion of new products or even the emergence of entire new sectors.
    Keywords: technological change, R&D, demand-pull innovation, dynamic two tobit
    JEL: O31
    Date: 2017–06
  4. By: Jingong Huang (University of Melbourne)
    Abstract: Motivated by empirical evidence from the U.S. patent citation data on the dynamics of firms' patent portfolio development, I build a model of innovation incorporating a technology network structure. The model features firms operating in multiple technology sectors and internalising the spillovers of their own knowledge accumulation to produce patents. Two new insights emerge: The technology network is an important determinant of the patent distribution in different sectors. The growth of patents in each sector is proportional to the Eigenvector Centrality of the technology network. The model is estimated using Simulated Method of Moments and it is capable of reproducing the patent distribution observed in the data.
    Date: 2017
  5. By: Oscar Mauricio Valencia-Arana; Jose Eduardo Gomez-Gonzalez; Andrés Garcia-Suaza
    Abstract: Can technological misallocation generate financial frictions? We build a theoretical model with testable implications, in which the misallocation between R&D and production activities generates borrowing constraints. The investor offers the innovator a rent that is contingent to the success of its project in order to make them exert an incentive-compatible effort level. However, this rent distorts the allocation of effort between activities. Specifically, it leads to a suboptimal level of effort impulsing a reallocation of resources from production to R&D. Consequently, the investor cannot appropriate the surplus resulting from innovation. This distortion increases the cost of external financing for firms that have large amount of intangible assets. Using Compustat data for manufacturing firms in the United States between 1982 and 2007, we show that cash-flow sensitivities are positive and increasing in firms with high R&D intensities
    Keywords: Moral Hazard, Endogenous Borrowing Constraints, and TechnologicalMisallocation
    JEL: G11 D86
    Date: 2017–06–06
  6. By: Novy, Andreas
    Abstract: This paper presents transformative social innovation as a specific type of social innovation which attempts avoiding the trap of being used by the neoliberal mainstream. Unfortunately, utilizing social innovations to strengthen the "human face of neoliberalism" has become a real threat since the Barroso Commission has embraced social innovation as a panacea to solve the social crisis resulting from the financial breakdown in 2008. In this approach, social innovation has increasingly been reduced to a recipe of fostering social entrepreneurship and creating quasi-markets (Jenson, 2015, p. 101), thereby promoting an "enabling welfare state" which uses the creativity and personal commitment of its citizens (Bureau of European Policy Advisors, 2010: 7). In current social innovation policies, attention focuses on the space of manoeuvre of deliberate agency, often by social entrepreneurs or "change maker", to implement "piecemeal changes" in the short run, like improving language skills of migrants or reintegrating of long-term unemployed into the labour market. Nobody can object to "doing more with less" in the form of cost-and resource efficient responses in times of ecological crisis and fiscal constraints. Nor can one oppose incentives for active citizenship in a "participation society". However, these efforts have become increasingly problematic, as a one-sided concern with measureable social impact, offering quick and visible solutions, has impeded to reflect on the deeper causes of the current multiple crises. But without understanding causes, agency can neither grasp important dimensions of a problem nor identify potentials. It, therefore, tends to remain ineffective. This recalls the "old saying that 'when it comes to practicality, nothing beats a good theory" (Danermark, Ekström, Jakobsen, & Karlsson, 2005, p. 187f) - and a good theory of capitalist modernisation is prerequisite for all types of emancipatory agency. In this paper, I will first quickly present attempts at elaborating a more radical version of social innovation that aims at tackling causes, including unequal power relations and systemic elements of capitalist market economies. Frank Moulaert and his colleagues, the research project TRANSIT and Mangabeira Unger offer different analyses for identifying the transformative potential of social innovations. Based on these contributions, I will present my understanding of transformative social innovations, grounding it in Karl Polanyi's The Great Transformation, critical realism and transdisciplinarity.
    Date: 2017
  7. By: Tonnerre, Antoine
    Abstract: The purpose of this paper is two-fold. Firstly, it surveys different works related to the analysis of Innovation and the way it spreads locally. We will see that theoretical predictions and empirical facts are rather contradictory. This will lead us, secondly, to shedding light towards the concentration of innovative activities in the European Union, at a more precise level of analysis: the NUTS2 nomenclature. We contradict the usually accepted empirical fact that innovative activities tend to be less and less concentrated, thus supporting the theory of knowledge spillovers, which is probably due to the important changes the European Union went through in terms of trade structure. This claim relies on a rather simple but well-founded analysis. Patent applications to the European Patent Office will be used as a proxy for the level of Innovation. These patent applications have a geographical component that will be exploited to determine whether spatial autocorrelation of innovative activities is present. After showing the importance of considering spatial autocorrelation in an analysis of Innovation, we will propose an empirical methodology to assess how it spreads. Regarding this, no results are presented, as it goes beyond the scope of the paper.
    Keywords: Innovation, knowledge spillovers, spatial concentration, spatial autocorrelation, empirics, patents, European Union, NUTS2.
    JEL: O31 R12
    Date: 2017–07–10
  8. By: Batabyal, Amitrajeet; Yoo, Seung Jick
    Abstract: We study innovation policy in a region in which the members of the creative class engage in Schumpeterian competition and thereby extend aspects of the recent analysis in Batabyal and Yoo (2017). Using the language of these researchers, the creative class is broadly composed of existing and candidate entrepreneurs. In contrast to these researchers, we suppose that R&D by candidate entrepreneurs does not generate any negative externalities. In this setting, we analyze the impact that taxes and subsidies on R&D by existing and candidate entrepreneurs have on R&D expenditures and regional economic growth.
    Keywords: Creative Class, Creative Destruction, Economic Growth, Innovation Policy, R&D
    JEL: O31 O38 R11
    Date: 2017–06–30
  9. By: Luintel, Kul B (Cardiff Business School); Khan, Mosahid
    Abstract: Research and Development (R&D) activities of emerging countries (EMEs) have increased considerably in recent years. Recent micro studies and anecdotal evidence points to industrialized countries as the sources of knowledge in EMEs. In this context, we examine ideas production and international knowledge spillovers in a panel of 31 EMEs by accounting for six diffusion channels and two types (national versus USPTO) of patent filings. Knowledge spillovers to EMEs accruing from (i) the industrialized world, (ii) the emerging world, (iii) different country and regional groups, and (iv) selected bilateral cases are modeled. Spillovers from the industrialized world appear robust via geographical proximity and disembodied channels only. Other conduits, including trade flows, are either insignificant or not robust. Spillovers from emerging world are virtually non-existent. Analyses of regional clusters of EMEs do not support any role of language, culture or geographical characteristics in knowledge diffusion. Overall, the breadth and depth of knowledge spillovers appear extremely moderate across EMEs; however, we find pockets (specific countries and certain groups) generating positive spillovers. A carefully choreographed policy focusing on such pockets might be fruitful. We hope that this study (i) complements the micro literature, (ii) furthers the existing macro literature and (iii) provides some new policy insights. Our results are robust to a range of robustness checks, including the estimators – a cointegration approach versus a simple fixed effects OLS estimator.
    Keywords: Ideas Production; Diffusion; Fixed Effects; Panel Integration and Cointegration
    JEL: G0 O4 O16
    Date: 2017–07
  10. By: Kibae Kim (Technology Management, Economics, and Policy Program; College of Engineering; Seoul National University)
    Abstract: In recent studies, Information and Communication Technologies have been key drivers of innovation and economic growth throughout the world. Because the Information and Communication Technology products and services require intensive knowledge, leading countries invested in their innovation systems to operate more effectively and efficiently. Studies on innovation have investigated the knowledge base of countries and their respective relationships with their national institutions, and subsequent economic growth to identify factors which have led to success. However, the approaches of previous studies omit the constituents of the knowledge base while focusing on quantitative aspects such as size. In this article, I propose a novel approach to exploring the knowledge base at a global level by undertaking a network analysis of patents. In this framework, the global knowledge network is defined as a set of countries and respective technological similarities between countries as vertices and edges. Applying this framework, the research questions are addressed qualitatively by identifying the structure of the network and how it has evolved. The analysis results indicate that the global knowledge network consists of a cluster of developed countries, and the cluster is linked with developing countries through Japan, U.S.A. and China. They also show that the Information and Communication Technology leaders changed from Great Britain and France to U.S.A. in 1920s, from U.S.A. to Japan in 1970s. The framework is expected to be applied to economic studies of innovation and knowledge bases at a global level.
    Keywords: Global Knowledge Network, Information and Communication Technology, Technology Leadership, Network Analysis, Patents.
    JEL: A12 O33 O34 O53
    Date: 2015–09
  11. By: Shang, Hua (Asian Development Bank Institute); Song, Quanyun (Asian Development Bank Institute); Wu, Yu (Asian Development Bank Institute)
    Abstract: From the perspective of credit allocation, this paper analyzes the effects of credit market development on the innovative capacities of industrial firms in the People’s Republic of China. Using a large dataset of industrial firms in 31 provinces in the People’s Republic of China, we find that credit market development enhances firms’ product innovation incentives and outcomes. We further show that firms’ credit constraints and firms’ performances are two channels through which credit market development affects innovative capacities of firms. Our results are neither driven by the increase in the quantity of credit, nor by the increase in the number of firms in a province. The results are robust to different samples, different estimation methods, and alternative measures of credit market development.
    Keywords: credit market development; credit allocation; firm innovation; product innovation; innovation incentives; innovation outcomes
    JEL: G15 O31 R11
    Date: 2017–01–27
  12. By: Pacillo, Grazia
    Abstract: Agricultural commercialisation via increased market participation and innovation adoption has been widely argued to reduce poverty. However, empirical evidence suggests that both of these are persistently low in developing countries. Recent analyses suggest that different types of transaction costs and social capital may influence both market access and innovation adoption decisions. This thesis investigates these two factors in agricultural commercialisation and poverty reduction. Using data from three GLSS survey rounds, Chapter 1 investigates the determinants of the decision to sell as well as the decision of how much to sell, focusing on the role of transaction costs. The empirical analysis is carried out at household level and for a specific crop (maize). A Heckman two-step model is used to control for self-selection into market participation, using measures of fixed transaction costs as identifier variables. The overall results, although generally consistent with previous literature, show an unexpected positive relationship between remoteness and market participation, which might reflect peculiarities of Ghanaian crop marketing systems. Chapter 3 investigates the relationship between social capital and innovation using primary data on 305 Ghanaian farmers collected during field work in 2012 (described in Chapter 2). The chapter analyses innovation (the decision to adopt, its timing and intensity) at crop level, focusing on a non-traditional cash crop, exotic varieties of mango. The analysis investigates the role of different types of social capital, both in disaggregated and aggregated forms. The results suggest that social capital should not be overlooked in the innovation process, supporting recent evidence that there exists a positive relationship between the “know-who” and adoption dynamics. Finally, Chapter 4 investigates the impact of innovation adoption on objective and subjective measures of poverty. Matching techniques are used to estimate the Average Treatment Effect on the Treated, using primary data. The results show that adoption does not impact objective poverty but it does have a significant positive impact on self-perceived poverty status.
    Date: 2016–06
  13. By: Simplice Asongu (Yaoundé/Cameroun); Jacinta C. Nwachukwu (Coventry University, UK)
    Abstract: This study investigates how the mobile phone can complement knowledge diffusion in order to influence CO2 emissions in 44 Sub-Saharan African countries for the period 2000-2012. The empirical evidence is based on Generalised Method of Moments. Three knowledge diffusion variables representing three of the four pillars of the World Bank’s Knowledge Economy Index are employed: educational quality, information and communication technology (ICT) and scientific output. Six CO2 emission variables are used, namely: CO2 per capita, CO2 from electricity and heat, CO2 from liquid fuel, CO2 from manufacturing and construction, CO2 from transport and CO2 intensity. In the assessments, a decreasing tendency in these variables translates into positive conditions for environmental sustainability. Based on net effect from complementarities, the following findings are established. First, the mobile phone complements education to have a net negative effect on CO2 emissions per capita and CO2 emissions from the consumption of liquid fuel. Second, where some positive net effects of knowledge diffusion are apparent, corresponding marginal effects are negative. Corresponding mobile phone penetration thresholds at which the positive net effects on CO2 emissions can be dampened and reversed are largely within policy range. Practical and theoretical implications are discussed.
    Keywords: CO2 emissions; ICT; Economic development; Africa
    JEL: C52 O38 O40 O55 P37
    Date: 2017–05
  14. By: Christoph Engel (Max Planck Institute for Research on Collective Goods); Alon Klement (Buchman Faculty of Law, Tel Aviv University); Karen Weinshall Margel (Hebrew University of Jerusalem - Faculty of Law)
    Abstract: In law and economics, it is standard to model legal rules as an opportunity structure. The law’s subjects maximize expected profit, given these constraints. In such a model, the reaction to legal innovation is immediate. This is not what we observe after class action is introduced into Israeli law. For a long time, the new remedy is almost unused. Then the adoption process gains momentum. We discuss alternative options for theorizing the effect. We find that market entry is not only explained by the available information about profitability, but also by the adoption pattern of others. When deciding whether to bring further claims, law firms also react to the experiences they have made themselves. We thus explain the pattern by individual and social learning, and cannot exclude mere social imitation.
    Keywords: Legal Innovation, Diffusion, Imitation, Learning, Class Action
    JEL: D02 D21 D22 D83 K10 K41
    Date: 2017–06
  15. By: Di Ubaldo, Mattia
    Abstract: My research lies at the intersection of international trade and industrial economics. I contribute to the firms and trade literature, both empirically and theoretically, focusing on the impact of the financial crisis of 2008-09 on various dimensions of firms' activities. In particular, I study the response of international trade to the shock, focusing on the reaction of importers to the reduction in demand. Additionally, I explore the impact of the crisis on firms' innovation decisions, together with the implications of this for firms' export participation. I pursue these avenues of research as the Great Recession constituted a large shock, impacting severely various aspects of firms' operations. This allowed me to study the impacts of the fall in demand on trade, and the effects of liquidity scarcity on innovation and exporting. In Chapter 2 I exploit detailed Slovenian custom data to explore the product dimension of the trade crisis. I find that imports of inputs accounting for a larger share of firms' costs underwent an enhanced reaction during the event. This finding is explained with an inventory adjustment model which predicts a more than proportionate adjustment for high cost-share inputs because of their higher storage costs. In the Chapter 3 and 4, I concentrate on the effects of the 2008 crisis on firms' innovation decisions and selection into exporting. I augment the Melitz and Ottaviano (2008) framework to include process innovation subject to liquidity constraints, and show that a reduction in liquidity for innovation has opposing outcomes on innovators and exporters: innovative activity is reduced but entry into exporting is stimulated by a reduction in the industry-wide degree of competition. Evidence supporting these theoretical predictions is found in an empirical analysis with Slovenian firm level data in Chapter 4.
    Date: 2016–11
  16. By: Claude Diebolt; Charlotte Le Chapelain; Audrey-Rose Menard
    Abstract: Was technological progress conducive to human capital accumulation or was industrialization a deskilling process? Our paper investigates the effect of the French industrialization process on human capital accumulation throughout the nineteenth century. The novelty of the research is twofold: (i) we explore the deskilling hypothesis for the whole process of industrialization by implementing a panel analysis; (ii) we introduce a disaggregated human capital perspective to examine changes in skills demand at different stages of the process. Our analysis builds upon a new comprehensive dataset providing an exhaustive assessment of the diffusion of the steam technology in France at the county (Département) level over the 1839-1900 period. We use exogenous geographic variations as an instrument for the number of steam engines erected in each French department. We perform panel and cross-section regression analyses to compare the effect of technological change on basic vs. intermediate human capital accumulation. Our contribution reveals that French industrialization was not deskilling but that a shift in the type of the skills demanded occurred in the second half on the nineteenth century.
    Keywords: Technological change, steam engines, industrialization, human capital, education.
    JEL: N33
    Date: 2017
  17. By: Schiff, Maurice (World Bank)
    Abstract: This paper examines the impact of education, trade, governance and distance on technology diffusion and TFP in Latin America – specifically South America and Mexico (SAM) – and East Asia, over the 32 years preceding the Great Recession (1976–2007). Findings are: i) TFP rises with education, trade, governance (ETG) and trade's R&D content, and falls with distance to the (closest) North; ii) the East Asia – SAM education gap's impact equals that of trade plus governance; iii) an increase in SAM's ETG to East Asia's level raises TFP by over 100 percent and fully accounts for its TFP gap with East Asia; and iv) South America's TFP loss relative to Mexico due to its greater distance to 'US–Canada' (Europe and Japan) is 9.30 (0.02) percent.
    Keywords: East Asia and LAC, technology diffusion, productivity, education, trade, governance, distance
    JEL: F22 J61
    Date: 2017–06
  18. By: Benzeval, Michaela; Bianchi, Annamaria; Brewer, Mike; Burton, Jonathan; Cernat, Alexandru; Creighton, Mathew; Crossley, Thomas F.; Delavande, Adeline; Fisher, Paul; Gaia, Alessandra; Jäckle, Annette; Jamal, Amaney; Oberski, Daniel; Popham, Frank; Whitley, Elise; Winter, Joachim; Zafar, Basit
    Abstract: This paper presents some preliminary findings from Wave 9 of the Innovation Panel (IP9) of Understanding Society: The UK Household Longitudinal Study. Understanding Society is a major panel survey in the UK. IP9 included experiments on the use mixed mode data collection, the value of respondent incentives, targeted timing of email invitations, measurement of household finances, subjective expectations about returns to schooling, people’s assessment of what constitutes “successful ageing†, format of response options, use of multiple measurements to improve measurement of attitudes, and measurement of sensitive topics. This paper describes the design of IP9, the experiments carried and the preliminary findings from early analysis of the data.
    Date: 2017–07–07
  19. By: Simen G. Enger (TIK Center for Technology, Innovation and Culture, University of Oslo and Norwegian Ministry of Education and Research, Department of Research, Oslo, Norway)
    Abstract: This study presents an analysis of 2 216 European higher education institutions (HEIs) from 27 countries. It investigates determinants of participation in the European Union’s Framework Programme for research and innovation (EU FP), Horizon 2020, and empirically assesses how cumulative advantages affect the chances of applying for and receiving funding in collaborative projects. Having a strong, influential network position in collaborative EU research is found to affect participation in H2020 greatly – suggesting ‘closed clubs’, to the detriment of less influential HEIs. Greater access to resources and capabilities significantly moderates the effect of network position on EU FP participation. Results indicate that these organizational factors are central in the feedback process whereby large, well-reputed institutions accrue further advantages.
    Date: 2017–07
  20. By: Albert, Link (University of North Carolina at Greensboro, Department of Economics); U Yeong, Yang (University of North Carolina at Greensboro, Department of Economics)
    Abstract: The Republic of Korea undertook a major initiative in the early 1970s to integrate high-technology industry with its regional development strategy. This effort involved three phrases: the development of science towns in the 1970s, the initiation of a technopolis program in the 1980s, and the establishment of science parks or technoparks in the 1990s. We focus on the third phase in this paper, and we identify empirically covariates with the employment growth of Korean technoparks. We find faster employment growth in parks established after the ICT revolution in 2000, in parks with tenants involved in more complex technology development, and in parks with more research-intensive tenants.
    Keywords: science park; technopark; Korea; entrepreneurship; technology; innovation
    JEL: O21 O31 R11
    Date: 2017–06–26
  21. By: Naudé, Wim (Maastricht University)
    Abstract: The Fourth Industrial Revolution (4IR) is impacting on the industrialization options for Africa inter alia through three interrelated sets of technologies, namely automation, additive manufacturing and the Industrial Internet. In this paper I set out the case for why Africa should industrialize. I then explore the opportunities and threats the 4IR pose for Africa. Threats include job-losses and the re-shoring of manufacturing to advanced economies. Among the opportunities are products-as-services, the sharing (collaborative) economy, and digital services and digital exports. These are markets that are currently underdeveloped in Africa but have substantial potential given Africa's geography, demography and on-going urbanisation. In order for the continent to benefit from the 4IR more needs to be done to improve entrepreneurship and education. A number of policy recommendations for 4IRcompatible entrepreneurship and education policies are made.
    Keywords: industrial policy, entrepreneurship, education, Africa
    JEL: O55 O25 O14 O33 L26 J24
    Date: 2017–06

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