nep-knm New Economics Papers
on Knowledge Management and Knowledge Economy
Issue of 2012‒04‒10
two papers chosen by
Laura Stefanescu
European Research Centre of Managerial Studies in Business Administration

  1. Biotechnology innovation for inclusive growth : a study of Indian policies to foster accelerated technology adaptation for affordable development By Vijayaraghavan, K.; Dutz, Mark A.
  2. R&D and aggregate fluctuations By Artuc, Erhan; Pourpourides, Panayiotis M.

  1. By: Vijayaraghavan, K.; Dutz, Mark A.
    Abstract: This paper describes and analyzes a series of complementary policy initiatives in India to adapt and commercialize existing global biotechnologies to meet local needs in healthcare, agriculture, industry and the environment in a more affordable manner. This evolving approach has been implemented through six complementary elements, namely (1) translational research; (2) technology access through global consortia; (3) commercialization supported by public-private partnerships, broadly interpreted; (4) skills development; (5) regulation; and (6) institutional governance, including special purpose vehicles, for effective project management. The paper focuses on two public-private partnership initiatives, the Small Business Innovation Research Initiative and the Biotechnology Industry Partnership Program, which together have allocated more than US$70 million in public funding to almost 150 projects, contributing to a total public-private investment of more than $170 million over the past five years. The authors'key recommendation, to ensure effective resource use and better policy impact, is for these innovation-support initiatives to adopt more continuous monitoring with quicker feedback from learning to implementation, and more rigorous impact evaluation including approaches that allow the results of firms benefiting from support to be compared with an appropriate group of firms not benefiting from support.
    Keywords: ICT Policy and Strategies,Agricultural Knowledge&Information Systems,Rural Development Knowledge&Information Systems,E-Business,Agricultural Research
    Date: 2012–04–01
  2. By: Artuc, Erhan; Pourpourides, Panayiotis M.
    Abstract: The research and development (R&D) sector is considered one of the main driving forces of sustainable growth in the long run. The sector, however, also shows excessive volatility and is one of the important sources of macroeconomic fluctuations. Using data from the United States Bureau of Economic Analysis and National Science Foundation, we show how significant technology innovations'contributions are to improve sector productivity and the efficiency of physical capital. After taking nominal innovations into consideration, such as shocks in monetary policy and inflation, capital innovations explain 70 percent of fluctuations of real investment in R&D, while productivity innovations in the R&D sector explain 30 percent of the variation in the output of the non-R&D sectors. Technology innovations explain most of the variation of output in the R&D sector and 78 percent of the variation of output in the rest of the economy. Although the R&D sector is relatively small, it has a significant impact on the fluctuations of aggregate output.
    Keywords: E-Business,Economic Theory&Research,Political Economy,Research and Development,Labor Policies
    Date: 2012–03–01

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