nep-ino New Economics Papers
on Innovation
Issue of 2021‒04‒19
twelve papers chosen by
Uwe Cantner
University of Jena

  1. What future for science, technology and innovation after COVID-19? By Caroline Paunov; Sandra Planes-Satorra
  2. Does initial vocational training foster innovativeness at the company level? Evidence from German establishment data By Matthies, Eike; Haverkamp, Katarzyna; Thomä, Jörg; Bizer, Kilian
  3. Technological novelty and key enabling technologies: Evidence from European regions By Sandro Montresor; Gianluca Orsatti; Francesco Quatraro
  4. Rapid detection of fast innovation under the pressure of COVID-19 By Nicola Melluso; Andrea Bonaccorsi; Filippo Chiarello; Gualtiero Fantoni
  5. COVID-19 innovation in low and middle-income countries: Lessons for development co-operation By Ben Ramalingam; Benjamin Kumpf
  6. Exploring Regional Innovation Policies and Regional Industrial Transformation from a Co-Evolutionary Perspective: The Case of Małopolska, Poland By Marta Gancarczyk; Marta Najda-Janoszka; Jacek Gancarczyk; Robert Hassink
  7. Creativity over Time and Space - A Historical Analysis of European Cities By Michel Serafinelli; Guido Tabellini
  9. Measuring Job Creation, Growth, and Survival among the Universe of Start-ups in the United States Using a Combined Start-up Panel Data Set By Fairlie, Robert W; Miranda, Javier; Zolas, Nikolas
  10. An evolutionary view on the emergence of Artificial Intelligence By Matheus E. Leusin; Bjoern Jindra; Daniel S. Hain
  11. New Indicator of Science and Technology Inter-Relationship by Using Text Information of Research Articles and Patents in Japan By MOTOHASHI Kazuyuki; KOSHIBA Hitoshi; IKEUCHI Kenta
  12. Mission-oriented innovation policy in Japan: Challenges, opportunities and future options By Philippe Larrue

  1. By: Caroline Paunov (OECD); Sandra Planes-Satorra (OECD)
    Abstract: The COVID-19 crisis may bring lasting socioeconomic changes, also affecting science, technology and innovation (STI). This paper discusses the effects that the COVID-19 crisis could have on the future of STI and its policies, building on lessons learned from past crises, an analysis of diverse sources of early data and insights from expert discussions in international policy fora. Factors shaping the future of STI include the unequal effects of the crisis on R&D spending across sectors, the accelerated adoption of digital tools and techniques, and changes in the openness and inclusiveness of research and innovation ecosystems. The paper also explores how STI policy could experience fundamental changes as resilience, environmental sustainability and inclusiveness become more prominent objectives on policy agendas. This includes experimentation with new data and digital tools for policy purposes and unconventional policy approaches, which could spur the adoption of new and more effective STI policies.
    Keywords: COVID-19, future developments, innovative (digital) policy tools and approaches, OECD countries, resilience, science, technology and innovation (STI), STI policy
    JEL: O30 I23 H12
    Date: 2021–04–13
  2. By: Matthies, Eike; Haverkamp, Katarzyna; Thomä, Jörg; Bizer, Kilian
    Abstract: While an increasing number of conceptual studies postulate that vocational education and training (VET) activities have a positive impact on the innovative capacity of training companies, empirical evidence on the subject remains scarce. This study exploits establishment data from a representative survey of German companies to estimate the effects of firms' participation in initial VET on their innovation outcomes. The results based on linear probability models and instrumental variable regressions with entropy balancing show that the impact of VET activity on innovation is more ambiguous than postulated. Overall, the participation in initial VET has virtually no effect on product innovation and radical novelties. For the total population of all German companies, the positive impact of VET activities is only observable in case of process innovation. However, our results point to significant causal effects on the innovative capacities of small and medium-sized enterprises (SMEs). We conclude that companies' participation in the VET system facilitates organizational learning in training companies and knowledge transfer from VET institutions to those enterprises, which are otherwise more likely to be detached from modern technology networks. The paper concludes with implications for policy and research.
    Keywords: education,apprenticeship training,modes of innovation,innovation without R&D,SMEs
    JEL: I20 J24 O31
    Date: 2021
  3. By: Sandro Montresor (Gran Sasso Science Institute); Gianluca Orsatti (Università di Torino); Francesco Quatraro (Università di Torino)
    Abstract: This paper investigates whether the local endowment of Key Enabling Technologies (KETs) drives the regions’ capacity to create technological novelty. Looking at regional innovations as re-combinations of preexisting knowledge, we propose two indicators of regional technological novelty (absolute and local), based on patents that originally draw on still unexplored prior-art knowledge connections. We argue that KETs have inherent re-combinatorial properties of the regional knowledge base and that their local endowment drives technological novelty. We test for this argument by focusing on a sample of 1,255 NUTS3 EU regions over the period 2000-2014 in an original instrumental variable setting. With some nuances, results confirm our main hypotheses. KETs do drive significantly the introduction of local technological novelty, but this mainly occurs for an absolute kind of novelty. The development, use or eventually external acquisition of KETs is thus an important policy priority for regions willing to compete at the technological frontier.
    Keywords: technological novelty, knowledge combination, key enabling technologies (KETs)
    JEL: R11 R58 O31 O33
    Date: 2020–09
  4. By: Nicola Melluso; Andrea Bonaccorsi; Filippo Chiarello; Gualtiero Fantoni
    Abstract: Covid-19 has rapidly redefined the agenda of technological research and development both for academics and practitioners. If the medical scientific publication system has promptly reacted to this new situation, other domains, particularly in new technologies, struggle to map what is happening in their contexts. The pandemic has created the need for a rapid detection of technological convergence phenomena, but at the same time it has made clear that this task is impossible on the basis of traditional patent and publication indicators. This paper presents a novel methodology to perform a rapid detection of the fast technological convergence phenomenon that is occurring under the pressure of the Covid-19 pandemic. The fast detection has been performed thanks to the use of a novel source: the online blogging platform Medium. We demonstrate that the hybrid structure of this social journalism platform allows a rapid detection of innovation phenomena, unlike other traditional sources. The technological convergence phenomenon has been modelled through a network-based approach, analysing the differences of networks computed during two time periods (pre and post COVID-19). The results led us to discuss the repurposing of technologies regarding "Remote Control", "Remote Working", "Health" and "Remote Learning".
    Date: 2021–01
  5. By: Ben Ramalingam; Benjamin Kumpf
    Abstract: This paper explores how innovation in low and middle-income countries is enhancing their local and national responses to the COVID-19 pandemic. The paper also analyses how innovation could further address locally relevant development challenges by mobilising resources, improving processes and catalysing collaboration. Lastly it examines how international development organisations can improve their support for local and national innovation efforts.
    Keywords: Frugal Innovation, Grassroots Innovation, Innovation, Innovation Ecosystems, Innovation Policy, International Development, SDGs, Social Entrepreneurship
    JEL: F35 L31 O19
    Date: 2021–04–16
  6. By: Marta Gancarczyk; Marta Najda-Janoszka; Jacek Gancarczyk; Robert Hassink
    Abstract: The Małopolska region in southern Poland has a long tradition of mature and heavy industries, but more recently also new, unrelated industries have been emerging in this region, such as knowledge intensive business services. At the same time, innovation policies have been decentralizing over the last 20 years in Poland and in the Małopolska region, therefore, the effects of regional innovation policies on regional industrial transformation (RIT) have grown. Against this background, the paper aims to explain the role of regional innovation policies in regional industrial transformation from a co-evolutionary perspective. For this purpose, it extends the common co-evolutionary theoretical framework with interaction mechanisms, i.e. the processes underlying policy-industry mutual influences, and thus explaining their co-evolution. Interaction mechanisms allow us to better understand the major directions in industrial development and in policy approach, namely, the exploitation of extant capabilities and the exploration of new economic areas. The role of innovation policy in the Małopolska RIT can be described as predominantly assisting and adjusting to industrial change with some level of proactive promotion of new industrial opportunities. Overall, we observe reciprocal relationships with regional industry rather than unidirectional influence of this policy. We find this dynamic interaction a positive phenomenon that enabled the evolution of policy to balance the exploitative and explorative approaches to industrial development.
    Keywords: regional innovation policies, regional industrial transformation, co-evolution, Małopolska, Poland
    Date: 2021
  7. By: Michel Serafinelli; Guido Tabellini
    Abstract: Creativity is often highly concentrated in time and space, and across different domains. What explains the formation and decay of clusters of creativity? We match data on notable individuals born in Europe between the XIth and the XIXth century with historical city data. The production and attraction of creative talent is associated with city institutions that protected economic and political freedoms and promoted local autonomy. Instead, indicators of local economic conditions such as city size and real wages, do not predict creative clusters. We also show that famous creatives are spatially concentrated and clustered across disciplines, that their spatial mobility has remained stable over the centuries, and that creative clusters are persistent but less than population.
    Keywords: innovation, agglomeration, political institutions, immigration, gravity, human capital
    JEL: R10 O10 J61 J24
    Date: 2021
  8. By: Quentin Plantec (CGS i3 - Centre de Gestion Scientifique i3 - MINES ParisTech - École nationale supérieure des mines de Paris - PSL - Université Paris sciences et lettres - CNRS - Centre National de la Recherche Scientifique, Institut National de la Propriété Industrielle (INPI)); Benjamin Cabanes (CGS i3 - Centre de Gestion Scientifique i3 - MINES ParisTech - École nationale supérieure des mines de Paris - PSL - Université Paris sciences et lettres - CNRS - Centre National de la Recherche Scientifique); Pascal Le Masson (CGS i3 - Centre de Gestion Scientifique i3 - MINES ParisTech - École nationale supérieure des mines de Paris - PSL - Université Paris sciences et lettres - CNRS - Centre National de la Recherche Scientifique); Benoit Weil (CGS i3 - Centre de Gestion Scientifique i3 - MINES ParisTech - École nationale supérieure des mines de Paris - PSL - Université Paris sciences et lettres - CNRS - Centre National de la Recherche Scientifique)
    Abstract: There is abundant literature on the consequences of academic engagement with the industry, on overall scientists' commercialization and scientific performances. Nevertheless, the literature remains silent on how those performances are contingent on the research orientation's choice at the project level. This paper aims to fill this gap by exploring different research orientations in the context of university-industry collaborative Ph.D., a topic of interest as private companies are becoming more involved in Ph.D. training. To do so, we relied on a unique dataset comprising of 635 Collaborative Ph.D. projects through the CIFRE program in France. We classified the projects' ex-ante research directions: market-pull-oriented (MPO), research-push-oriented (RPO), and simultaneous-discovery-invention-oriented (SDI), and we observed their ex-post performances. First, as expected, an orientation towards industry needs conduct to higher commercialization performances. However, counter-intuitively, those projects are also prone to have similar scientific performances than those oriented towards scientific discoveries. Second, while SDI projects were considered over-performing other research orientations, they led to more significant scientific performances than traditional orientations but generated as many patents as MPO projects. Finally, we highlight that initial research orientation is a crucial determinant variable of scientific and commercialization performances, and our paper opens rooms for further research to the literature on academic engagement, university-industry collaborations, and Collaborative Ph.D.
    Keywords: Academic engagement,Doctoral education,Ph.D.,University-Industry collaborations
    Date: 2021–07–29
  9. By: Fairlie, Robert W; Miranda, Javier; Zolas, Nikolas
    Abstract: The field of entrepreneurship is growing rapidly and expanding into new areas. This article presents a new compilation of administrative panel data on the universe of business start-ups in the United States, which will be useful for future research in entrepreneurship. To create the US start-up panel data set, the authors link the universe of non-employer firms to the universe of employer firms in the Longitudinal Business Database (LBD). Start-up cohorts of more than five million new businesses per year, which create roughly three million jobs, can be tracked over time. To illustrate the potential of the new start-up panel data set for future research, the authors provide descriptive statistics for a few examples of research topics using a representative start-up cohort.
    Keywords: entrepreneurship, start-ups, administrative panel data, job creation, survival, Applied Economics, Business and Management, Sociology, Industrial Relations
    Date: 2019–10–01
  10. By: Matheus E. Leusin; Bjoern Jindra; Daniel S. Hain
    Abstract: This paper draws upon the evolutionary concepts of technological relatedness and knowledge complexity to enhance our understanding of the long-term evolution of Artificial Intelligence (AI). We reveal corresponding patterns in the emergence of AI - globally and in the context of specific geographies of the US, Japan, South Korea, and China. We argue that AI emergence is associated with increasing related variety due to knowledge commonalities as well as increasing complexity. We use patent-based indicators for the period between 1974-2018 to analyse the evolution of AI's global technological space, to identify its technological core as well as changes to its overall relatedness and knowledge complexity. At the national level, we also measure countries' overall specialisations against AI-specific ones. At the global level, we find increasing overall relatedness and complexity of AI. However, for the technological core of AI, which has been stable over time, we find decreasing related variety and increasing complexity. This evidence points out that AI innovations related to core technologies are becoming increasingly distinct from each other. At the country level, we find that the US and Japan have been increasing the overall relatedness of their innovations. The opposite is the case for China and South Korea, which we associate with the fact that these countries are overall less technologically developed than the US and Japan. Finally, we observe a stable increasing overall complexity for all countries apart from China, which we explain by the focus of this country in technologies not strongly linked to AI.
    Date: 2021–01
  11. By: MOTOHASHI Kazuyuki; KOSHIBA Hitoshi; IKEUCHI Kenta
    Abstract: In this study, the text information of academic papers (about 2.3 million) published by Japanese authors and patents filed with the Japan Patent Office (about 12 million) since 1990 are used for analyzing the relationship between science and technology. Specifically, a distributed representation vector using the title and abstract of each document is created, then neighboring documents to each are extracted using cosine similarity. A time trend and sector specific linkage of science and technology are identified by using the count of neighbor patents (papers) for each paper (patent). It is found that the number of patents with similar technical contents of paper decreased over time while the number of papers with similar contents of patent increased. This can be interpreted as meaning that first scientific papers advance the frontiers of science, and then technological progress (in the form of patents) follows, in fields where substantial scientific knowledge already existed. This paper proposes a new methodology of measuring science and technology linkage by using text information as a complement to traditional indicators based on non-patent literature citations of patents.
    Date: 2021–03
  12. By: Philippe Larrue (OECD)
    Abstract: This report assesses the potential for mission-oriented innovation policies (MOIPs) to contribute to the sustainable transition in Japan, and examines the challenges and opportunities that MOIPs would present. As part of a series of MOIP national case studies, the report finds that the ongoing ambitious and top-down MOIPs led by the center-of-government build upon a long history of proactive and goal-oriented policy intervention. MOIPs in Japan are the latest step of decades of efforts to reduce the fragmentation and lack of holistic coordination of Japan’s science, technology and innovation policy in order to proactively address societal challenges. Available evaluations of these policies demonstrate very encouraging results in that regards. The study concludes with recommendations to pursue these efforts, including by mainstreaming these policy initiatives across the government structure and complementing them with more bottom-up challenge-based initiatives.
    Keywords: Innovation, Science and technology, Societal challenges
    JEL: O14 O25 O38 Q55
    Date: 2021–04–13

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