Innovation and Growth: Chasing a Moving Frontier

Innovation and Growth: Chasing a Moving Frontier


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This book is based on the proceedings from the November 2008 OECD–World Bank joint conference "Innovation and Sustainable Growth in a Globalized World." It provides a perspective shared by both organizations on the role of innovation in growth and development in the coming years.

Product Details

ISBN-13: 9789264073968
Publisher: OECD
Publication date: 02/25/2010
Pages: 275
Product dimensions: 7.40(w) x 10.60(h) x 0.80(d)

Table of Contents

Chapter 1 Introduction: why innovation matters 11

Chapter 2 Competition, innovation and growth: theory, evidence and policy challenges 15

Introduction 16

Schumpeterian growth theory 16

Ex ante barriers to entry 17

Corporate governance problems 19

Escape competition and the inverted U 19

Lessons for competition policy 21

References 23

Chapter 3 Korea and the BICs (Brazil, India and China): catching-up experiences 25

Introduction 26

Theory and some evidence 30

Data limitations 31

How did Korea catch up with the OECD? 32

How much has China caught up? 39

How did China catch up? 43

Brazil: decline and recovery 47

India: another latecomer 50

Role of policy: balance between competition and innovation 52

Empirical methodology 57

Results 58

Conclusions 60

References 62

Chapter 4 Priorities for growth in OECD economies 67

Benchmarking structural policies 68

Are the OECD countries converging? 69

Policy priority setting and results 71

Priorities for OECD countries 74

Priorities for emerging economies 77

Annex 4.A1. The indicators used in Going for Growth 80

References 83

Chapter 5 The development of global innovation networks and the transfer of knowledge 85

Introduction 86

The global landscape for innovation 86

The opening of innovation 90

The development of global innovation networks 92

International mobility of the highly skilled 97

Implications for policy 101

References 105

Chapter 6 Innovation strategies for growth: insights from OECD countries 107

Introduction 108

Policies to promote innovation-led growth: broad lessons from OECD country-specific work 109

An exemplary triad: Chile -Norway - Switzerland 119

Conclusions 127

References 129

Chapter 7 Different innovation strategies, different results: Brazil, Russia, India, China and Korea (the BRICKs) 131

Introduction 132

Innovation in the context of developing countries 133

Characteristics of the BRICKs 135

Economic and institutional regime 140

Education 143

Acquiring foreign knowledge 146

Undertaking R&D 152

Disseminating knowledge 155

Lessons and implications 157

Annex 7.A1. Structure of output and exports of merchandise and commercial services in the BRICKs 163

References 166

Chapter 8 Technology diffusion in the developing world 169

Introduction 170

Technological progress and economic development 171

Measuring technological achievement 177

Technology diffusion 189

Measuring technological progress 192

Conclusions 194

References 200

Chapter 9 Foreign investment and the development of telecommunications in Latin America 203

Introduction 204

Investment in public services and multinationals: the case of telecommunications 204

The performance of the telecommunications sector in Latin America 206

Explaining the performance of the telecommunications sector in Latin America 214

Conclusions 224

References 226

Chapter 10 Broadband as a platform for economic, social and cultural development: lessons from Asia 229

Introduction 230

Why broadband? 230

Why Asia? 232

Broadband and economic growth 237

Conclusions 241

References 243

Chapter 11 User-driven innovation and communications development 245

Users and innovation 246

Regulatory reform and network growth 246

Network effects and externalities 248

Internalisation of externalities 249

Internalisation of network externalities by network owners 250

References 263

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