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Against the backdrop of the current political developments in Central and Eastern European (CEE) countries, such as Ukraine, Poland, and Romania, the question arises as to the role played by economic transformation and the resulting innovation linkages in these countries over the last 20 years. The main purpose of this paper is to explore the impact of economic and institutional dimensions on the development of CEE countries, explicitly distinguishing between European Union (EU) members and non‐members, and thus reflecting the differences in institutions and path dependency. Furthermore, the paper contrasts the performance of CEE countries with that of Western European countries. To achieve these objectives, the impact of factors such as innovation, institutions, and political practices on the economic development of 37 European countries from 2000 until 2020 is followed using fixed effects regression and Ordinary least squares (OLS) regression. The results of the analysis show the importance of institutional factors such as low levels of corruption, political freedoms, and intellectual property. The effect of institutional variables was particularly pronounced in the case of non‐EU countries, which indicates the particular importance of the development of stable institutions for achieving higher levels of economic development for this category of countries. [ABSTRACT FROM AUTHOR]

This paper examines the four‐way linkages between innovation, trade openness, financial development and economic growth using panel‐VAR approach for 11 European countries over the period 2001‐2016. Most importantly, the findings revealed that there is a unidirectional relationship between economic growth and financial development, between trade and economic growth and between innovation and financial development. The findings also revealed a negative relationship between innovation and economic growth and between trade and economic growth. The paper concludes that further regulation of financial systems and the quality of funding are important ingredients to foster economic development. The paper also concludes that country‐specific characteristics can play an important role in fostering innovation and productivity. Furthermore, policymakers should improve institutional quality and improve the regulatory environment in order to benefit more from trade openness. Also, policy makers need to use innovation incentives for local companies in order to counteract the negative effects induced by market opening. [ABSTRACT FROM AUTHOR]

This paper studies the dynamics of unemployment (u) and its natural rate (u*), with u* measured by real‐time estimates for 29 countries from the Organization for Economic Cooperation and Development. We find strong evidence of hysteresis: an innovation in u causes u* to change in the same direction, and therefore has permanent effects. For our baseline specification, a one‐percentage‐point deviation of u from u* for 1 year has a long‐run effect of 0.16 points on both variables. When we allow asymmetry, we find, perhaps surprisingly, that decreases in u have larger long‐run effects than increases in u. [ABSTRACT FROM AUTHOR]

China's environmental governance exhibits a significant imbalance with its economic development. To enhance the "green" and sustainable practices of enterprises, employing environmental, social, and governance (ESG) principles is imperative. The literature examining the correlation between ESG and green innovation (GI) lacks detailed clarity and obscures the different effects of each dimension. Inefficient resource allocation may also result from ignoring the distinct implementation costs associated with each dimension of ESG. Such problems eventually hinder the guidance of corporate practices. Therefore, the promoting or inhibiting effects stemming from each of these dimensions warrant further study. In this paper, we use data from A‐share listed companies in China for the years 2004 to 2020 to investigate the mechanism that links the E, S, and G dimensions of ESG with GI from an externality perspective. We prove a linear or U‐shaped relationship between the E or S dimension and GI, and we explore the mediating effect of financing constraints on these relationships. We compare these dimensions under a unified theoretical framework to clarify their differences in externality and internality. This study's results highlight the importance for enterprises to emphasise environmental issues and social recognition, instead of just corporate operations, to achieve sustainable development. [ABSTRACT FROM AUTHOR]

A high‐quality green transition is essential to achieving sustainable and coordinated global development. In this paper, a new method of two‐step geometric average is proposed to measure green transition, and a comprehensive framework on the relationship between sustainability and coordination via the propelling force of green transition is constructed at both the national and provincial levels. In addition, the mediating effect model and the threshold model are employed to empirically verify the mechanisms and influences. According to the results, green transition can contribute to regional economic growth at national level and to the coordinated development of regional economies at provincial level in China. Meanwhile, the non‐linear 'U‐shaped' relationships between green transition and regional economy are demonstrated in Asia and the eastern region of China, and spillover effect of technological innovation can indirectly promote regional development. In addition, the heterogeneity effect of green transition fully releases the dividend of economic quality and environmental governance capacity, promoting the coordinated development of regional economies. In the meantime, the driving force of green transition on regional economy is dependent on the external environment, particularly before and after the outbreak of COVID‐19, when its impact has altered substantially. Therefore, it is necessary to promote green transition via greater technological innovation efficiency, and then to restore the vitality of regional economic development; which could provide policy makers and professionals in the regional economy with information for enhancing sustainable and coordinated development. [ABSTRACT FROM AUTHOR]

China's extensive economic growth has been accompanied with high levels of pollution, and excessive energy consumption has brought serious pollution problems. The use of financial resources to regulate green production modes and encourage high‐quality economic development has become a major focus in academia. At the same time, growth enterprise market (GEM) enterprises, which mainly operate in technology‐intensive industries, are assumed to have a simulating effect on regional innovation. Therefore, this paper utilizes the capital return differences of 4437 listed companies and 920 GEM companies based in 30 provinces of China from 2008 to 2018 to quantitatively analyze the levels of financial misallocation. With two‐stage regression method, the direct effect of financial misallocation on regional green total factor energy efficiency (GTFEE) and the indirect impact observed when taking regional innovation as an intermediary variable are discussed. Furthermore, dynamic threshold panel regression and heterogeneity analysis are used to verify the above nonlinear relationship. The empirical findings indicate that financial misallocation enhances innovation capability and further restrains GTFEE. With an improved degree of marketization and environmental regulation, the inhibitory effect of financial misallocation on GTFEE is more significant. [ABSTRACT FROM AUTHOR]

The role of financial inclusion along with environment related technological innovation has been ignored by previous studies, especially, in terms of tradeadjusted carbon emissions. Unlike previous studies, this study aims to test the role of financial inclusion and eco-innovation on trade-adjusted carbon emissions or consumption-based carbon emissions for a group of seven economies over the period 2004-2019. Further, this study also tests the role of exports, imports and gross domestic product. We develop an index using principal component analysis to measure financial inclusion. The study utilizes the novel method of moment quantile regression to obtain the results. The results indicate that eco-innovation reduces consumption-based carbon emissions at 25th, 50th, 75th, and 90th quantiles, respectively. Moreover, financial inclusion and exports also reduce emissions at 25th, 50th, 75th, and 90th quantiles. In contrast, gross domestic product and imports cause trade-adjusted emissions to increase. Moreover, a bidirectional link is established between all variables except for financial inclusion. Finally, this study provides relevant policy implications for trade, eco-innovation, and financial inclusion in the group of seven economies for sustainable trade development. This paper further provide relevant environmental policy implications. [ABSTRACT FROM AUTHOR]

The article presents abstracts on research related to economics including "The oil resources of Timor-Leste: curse or blessing?," by Mats Lundahl and Fredrik Sjholm, "Transitional economy of Myanmar: present status, developmental divide, and future prospects," by Mya Than and Myat Thein, and "The roles of capital and technological progress in Vietnam's economic growth," by Phan Minh Ngoc.

Abstract: This paper looks at the link between the quality of economic institutions and innovation, and innovation and growth. We construct a measure of the innovation content of individual manufacturing industries and show that countries with stronger economic institutions specialize in more innovation‐intensive industries. Our results also provide evidence that industries involving higher levels of innovation grow relatively faster in countries with better economic institutions. The results suggest that innovation is an important channel through which higher quality economic institutions contribute to better growth performance in the long run. [ABSTRACT FROM AUTHOR]

Abstract: This paper extends a two‐period overlapping generations model of endogenous growth where the interactions between public infrastructure and human capital with research and development (R&D) activities and growth are studied. The paper makes two important contributions. First, it accounts for the spillover effect of the stock of ideas on learning, which in turn promotes the production of innovative technologies. In doing so, it brings to the fore a two‐way interaction between human capital and innovation. The paper then applies various econometric methods which confirm the above theoretical thesis. Second, the solutions of the model emphasize the important role public spending on infrastructure, human capital and R&D can play in promoting economic growth. However, the findings also show that trade‐offs in the allocation of public spending may inevitably emerge. In particular, investment in public infrastructure at the expense of spending on R&D is less likely to succeed in promoting economic growth, whereas it may be more effective to foster growth through an offsetting cut in another productive component, namely, education. In light of these potential trade‐offs, governments in low‐income countries need to use their limited budgets as part of holistic measures in order to achieve efficient outcomes. [ABSTRACT FROM AUTHOR]

What causes firm-level product innovation in developing economies? This paper answers this question by emphasizing the role of process improvements that are influential in product innovation. We construct a firm-level innovative capability score using novel, broad-based, but detailed data on various process improvement practices obtained from firms in Southeast Asia. We then investigate the factors that may affect innovative capability. We also estimate the effect of the innovative capability score on product innovation controlling for research and development intensity and other firm characteristics. Our empirical investigation identifies a chief executive officer ( CEO)'s past experience at a foreign or large firm, and buyer pressure to adopt international standards as key determinants of innovative capability. Novel and unique findings from our examination include: ( i) the impact of a CEO's past experience at a foreign or large firm on the innovative capability is larger for local enterprises and small- and medium-sized enterprises; ( ii) the impact of share of foreign workers in the upper managerial levels only appears to be significant in foreign firms and larger firms; and ( iii) buyer pressure is a more likely contributor to innovative capability compared with capital tie-ups with multinational enterprises or joint venture buyers that capture vertical technology transfers. Finally, our empirical results show that a firm in Southeast Asia is more likely to achieve product innovation if the firm has had a higher innovative capability. [ABSTRACT FROM AUTHOR]

This paper investigates the impact of financial innovations on the stability of money velocity. The paper contributes to the existing literature in three ways; first, we develop a simple analytical framework for money velocity taking into account the effect of financial innovations. Second, we test the model on Ugandan time series data using the ARDL bounds testing approach. Third, we check for the stability of the long-run money velocity function. Results show significant negative and positive effects of financial innovations on the money velocity in the short and long run, respectively. In addition, the long-run money velocity equation is stable despite the financial innovations that have evolved over time. Furthermore, other macroeconomic determinants of money velocity, including real income, the 91-day treasury bill rates, inflation expectations and the exchange rate exhibited a significant and positive long-run relationship with money velocity except for real income. These results suggest that financial innovations have not altered the long-run stability of money velocity in Uganda. Thus, given the importance of financial innovations in enhancing the access to financial services, we recommend that more technological advances and diversification of financial products should be enhanced so as to improve financial sector development and overall economic growth. [ABSTRACT FROM AUTHOR]

The paper develops a patent race model with a particular emphasis upon heterogeneity of competing R&D firms. It is demonstrated that R&D subsidies generate the cleansing effect where relatively lower productivity firms drop out of the race and innovation accelerates due to expanded R&D investment by the remaining firms as well as new entrants with higher productivity than exiting firms. [ABSTRACT FROM AUTHOR]

This paper builds China's intellectual property protection strength from the aspects of intellectual property legislation protection strength and law enforcement protection strength, and calculates by using the actual data from 1985 to 2010. The results show that China's intellectual property protection strength has always been enhanced, and Chow test shows that the structural breakpoints appeared in China's intellectual property protection strength in 2001(when China joined TRIPS Agreement). The further Granger causality test shows that the economic development level and technological innovation ability are the factors promoting China's intellectual property protection strength, which, however, has not effectively promoted economic development and technological innovation ability due to the impact of the overall economic development level. [ABSTRACT FROM AUTHOR]

ABSTRACT Large dams have been controversially debated for decades due to their large-scale and often irreversible social and environmental impacts. In the pursuit of low-carbon energy and climate change mitigation, hydropower is experiencing a new renaissance. At the forefront of this renaissance are Chinese actors as the world's largest hydropower dam-builders. This paper aims to discuss the role of South-South technology transfer of low-carbon energy innovation and its opportunities and barriers by using a case study of the first large Chinese-funded and Chinese-built dam in Cambodia. Using the Kamchay Dam as an example, the paper finds that technology transfer can only be fully successful when host governments and organizations have the capacity to absorb new technologies. The paper also finds that technology transfer in the dam sector needs to go beyond hardware and focus more on the transfer of expertise, skills and knowledge to enable long-term sustainable development. Copyright © 2015 John Wiley & Sons, Ltd and ERP Environment [ABSTRACT FROM AUTHOR]

This study challenges existing literature which maintains that technology latecomers usually depend on imported technologies to develop emerging high-tech sectors. This paper argues that the domestic institutional environment in facilitating networking might be more important for developing academia-industry ( A- I) networks. The co-evolution of institutions and the knowledge transfer process in the Taiwanese Biopharmaceutical Innovation System ( TBPIS) is a case in point. Far from relying purely on foreign technologies, several important institutional and policy changes, which transform the institutional environment from prohibiting A- I intertwining into encouraging A- I collaborations, have enabled domestic research institutes to influence the acquisition, creation, and diffusion of knowledge in the innovation network. Nonetheless, the country continues to struggle in commercializing domestic scientific research to step into a knowledge-based economy. Therefore, this paper suggests that more productive strategies would be helpful to advance domestic academic research, sustain A- I networks, and strengthen the innovation system. [ABSTRACT FROM AUTHOR]

Abstract: Empirical results on the links between trade openness and economic growth often suggest that, in the long run, more outward‐oriented countries register better economic growth. However, a similar level of trade openness can hide different types of trade structures. The aim of this paper was to enrich the way of measuring trade openness taking into account two different dimensions of countries’ integration in world trade: export quality and export variety. Based on the estimation of an endogenous growth model on a panel of 169 countries between 1988 and 2014 using a generalised method of moments estimator, our results confirm that countries exporting higher quality products and new varieties grow more rapidly. More importantly, we find a non‐linear pattern between the export ratio and the quality of the export basket, suggesting that openness to trade may impact growth negatively for countries which are specialised in low‐quality products. A non‐linear relationship between export variety, the export ratio and growth is also found, suggesting that countries increasing their exports will grow more rapidly after reaching a certain degree of the extensive margin of exports. [ABSTRACT FROM AUTHOR]

This paper examines a seemingly abrupt series of shifts that have the potential to completely transform cities as a direct result of a rising digital economy. It takes into account the convergence of research from three areas of study: (a) urban concentrations of innovative activities, (b) the platform economy, and (c) municipal regulation. A case study discussion about the role of municipal regulation in ride-hailing, with particular emphasis on Uber, highlights debates regarding the challenges faced by municipalities amidst the prospect of renewed innovative activities and concomitant economic growth, alongside unknown risks. The paper concludes with a discussion about questions and approaches to understanding innovative activities in light of the emerging platform economy, and reviews key questions regarding the role that municipal regulatory decisions play in shaping the twenty-first century city. [ABSTRACT FROM AUTHOR]

This paper discusses the incentives for innovation by a manager-led firm. In particular, it is investigated how remuneration practices influence the choice of a risky project. In the first place, a dynamic model with uncertainty is used to determine the optimal employment level with exogenous growth and risk. In the second part of the paper, growth and risk are explained by R&D expenditures. Optimal investment expenditures for R&D are derived for (i) the profit-maximizing firm and (ii) the managerial firm, where the manager receives a fixed salary as well as a variable share of profits. If risk neutrality is assumed, then no difference exists. However, if risk aversion is considered, the managerial firm will invest more into R&D than the owner-led company. Size-related salaries are an additional reason for higher expenditures of R&D by managers. Copyright © 2013 John Wiley & Sons, Ltd. [ABSTRACT FROM AUTHOR]

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African countries face an economic transformation gap. Given the large and growing Chinese presence on the African continent, a fundamental question is whether Chinese firms contribute to, or hinder, economic transformation in Africa. This article conducts a scoping review of over one hundred sources, examining the pathways through which Chinese firms can affect economic transformation. On balance, the literature points to a positive role of Chinese firms. Africa–China trade leads to mixed results, while Chinese investment and infrastructure construction are found to contribute positively to transformation. Chinese firms are also found to support capacity building, spillovers and innovation in African countries. [ABSTRACT FROM AUTHOR]

This paper discusses recent developments in the literature on local and regional innovative performance to show how an 'integrated' conceptual framework based on the cross-fertilization of different theories can serve as a foundation for the comparative analysis of territorial innovation dynamics in both developed and developing countries. The paper outlines a conceptual framework to explain the differences between innovation systems and their geography by drawing on elements of endogenous growth, new economic geography and regional innovation systems. This framework forms the basis of the subsequent analysis of the differences in innovative capacity between the European Union (EU), the United States (US) - as the leader system to be challenged - and China and India as emerging competitors for international technological leadership. The systematic analysis of a large body of empirical literature shows important differences between the spatial patterning of 'emerging' (China and India) and 'mature' (EU and US) innovation systems. [ABSTRACT FROM AUTHOR]

Abstract: In a separate paper (), we identified two sets of opportunities for radical innovations in operations and supply-chain management (O&SCM): pursuing all phases of science and pursuing multiple perspectives. In this paper, we propose and analyze ways to accomplish this task. A network of research teams can be effective in obtaining multiple perspectives and discovering radical innovation if it conducts intensive research over an extended period. Outliers are a source of multiple perspectives and innovative ideas and can help in identifying and addressing risks. Similarly, meta-analyses and syntheses of published works can provide multiple perspectives and lead to radical innovations. [Copyright &y& Elsevier]

Abstract: Although knowledge in operations and supply-chain management (O&SCM) has advanced substantially during the last six decades, our community has not fully utilized the potential for radical innovations. We identify two sets of opportunities for pursuing radical innovations. First, there is an opportunity to pursue all phases of science, including exploratory and qualitative research, developing theories, causation and internal validity, and testing models and theories for external validity (the ability to generalize knowledge to other situations). This would broaden the domain covered by each research effort, minimize the bias resulting from the choice of research paradigm and research domain, to enhance external validity, and to minimize the gap between our research efforts and the real world our community seeks to reshape. Second, there is an opportunity to pursue multiple perspectives because a scientific conclusion valid for a narrow domain may prove to be partially true or even false if one obtains multiple perspectives. Multiple perspectives can be obtained by investigating different parts of the system, by employing different methods of analysis, by using different sources of data, or by using different subsets of the same data. Developing scientific knowledge requires pursuit of all phases of science and of multiple perspectives. In a separate paper, we propose and analyze ways to accomplish it. [Copyright &y& Elsevier]

Monetary and fiscal rules are complementary. Whereas monetary policy and monetary institutions have been reformed in line with developments in modern macroeconomics, fiscal policies and institutions have not kept pace with these developments. review of Australia's existing fiscal responsibility legislation, the Charter of Budget Honesty, has pointed out significant shortcomings. This paper outlines a proposal by to reform Australia's fiscal responsibility legislation. It proposes three fiscal policy rules that are designed primarily to tie-down expectations in relation to the long-run path of the Commonwealth government's net debt. It also proposes the establishment of an independent Fiscal Commission to monitor and enforce compliance with the rules and to improve the transparency, independence and accountability of the federal budget process. The proposal aims to give politicians the commitment technology they need to address the fiscal challenges posed by an aging population and innovations in the terms of trade. [ABSTRACT FROM AUTHOR]

The paper offers a theoretical analysis of long-run economic growth as an outcome of structural changes. We model the microeconomic behaviour of firms in the final good and capital sectors, and the evolution of classes of workers/consumers. We carefully craft economic behaviour onto empirical evidence, and solve the model numerically. The results illustrate the microeconomic properties of the simulated growth patterns. In particular, we observe and explain the interactions between technological change, firm organization, income distribution, consumption behaviour and growth. We confirm the relevance and interdependence of these structural changes, and underline their microeconomic sources. [ABSTRACT FROM AUTHOR]

In this paper, we propose an evolutionary growth model in which an innovative production sector interacts with a simplified banking sector. We explore the relationships between long‐term sources of growth (technological change) and short‐term/mid‐term factors (such as price dynamics and interest rates). The model suggests new explanations for the endogenous emergence of sharp crises with profound effects in the long run. An interesting aspect of the model is that these crises appear in a strictly private economy, in which everything produced is sold, and there are neither government distortions nor exogenous shocks. The crises emerge from the interactions between uneven innovation rates and market reactivity. In fact, high reactivity in financial markets can amplify the (initially small) effects of innovative competition, leading to a destabilization of economic growth. Drawing on the results of the model we suggest some policy implications. [ABSTRACT FROM AUTHOR]

This paper surveys and synthesizes fast‐growing literature on the measurement and determinants of multi‐factor productivity (MFP). We identify three strands of the literature to measure MFP: the first is growth accounting, which decomposes observed economic growth into the contribution of factor inputs and technological change, called the Solow Residual; the second is index number methods, accompanied by frontier techniques; the third is growth regressions and econometric methods used to estimate productivity across countries and regions. We keep our focus on assessing the major strengths and weaknesses of commonly used methods for MFP measurement and categorize existing literature on the determinants of MFP growth into macroeconomic and institutional factors. We attempt to provide a reassessment and thematic survey of literature on the drivers of aggregate productivity, enabling policymakers to formulate effective economic policy. [ABSTRACT FROM AUTHOR]

This paper studies the impact of the diversity of domestic and international innovation partnerships on the innovation outcomes of South African firms. A number of competing hypotheses are formulated and tested empirically using a sample of South African firms in manufacturing and services by applying Ordinary Least Squares regression analyses. Results show that having an innovation partnership, particularly an international partnership, is beneficial to innovation outcomes. However, it also emerges that too diverse a set of international partnerships is detrimental to innovation outcomes. The paper concludes with a discussion and a number of proposals for future research. [ABSTRACT FROM AUTHOR]

The links between science, society and development are attracting research and policy attention as never before. Rapid advances in science and technology, whether in the fields of health, agriculture, information and communication, industrial production or environment offer, it seems, an array of new promises and opportunities in meeting development challenges. As we approach the end of the new Millennium's first decade, ‘science, technology and development’ have become a firmly embedded part of the international scene, attracting the attention of donors, intergovernmental and ministerial initiatives, NGOs and business corporations alike. This editorial for our special issue reflects on the fact that the emerging relationships between science, technology and processes of social change are providing a fertile field for analysts and practitioners engaged in the diversity of what we might define as ‘development studies’, yet also challenge them to engage more effectively with complex dynamics and multiple knowledges. Copyright © 2008 John Wiley & Sons, Ltd. [ABSTRACT FROM AUTHOR]

With firms increasingly relying on ubiquitous computing to implement major business initiatives, it is becoming ever more necessary to understand the technological aspects of business developments. This paper analyzes the use of remote diagnostics systems in the manufacturing industry and discusses the opportunities and challenges for the early adopters. It pays specific attention to the impact on business aspects such as the value creation process consisting of relationships, roles, and architecture and the value proposal consisting of a business offer and customer value. The study shows how ubiquitous computing allows manufacturers to become remote service providers while customers can either become co-creators of value or passive receivers of created value. Ubiquitous computing also creates possibilities for the manufacturing industry to design new kinds of business offers based on remote presence. Studying remote diagnostics systems shows that ubiquitous computing creates value when deployed in products, and not just in relation to individuals. Moreover, the design of the value-creation process should not be limited to the single supplier or customer organization, as ubiquitous computing applications take no notice of organizational boundaries. [ABSTRACT FROM AUTHOR]

This paper reassesses economic growth in five South-East Asian countries utilizing a non-parametric productivity index and parametric techniques to trace the ultimate source/s of growth. Our results show that there is no single explanation for the growth performance of the countries in our sample. The results, particularly with reference to the role of embodied technology are comforting in terms of policy implications for countries such as Singapore, where, given the capital output ratios, there are lower returns to future capital accumulation. The possibility of capital being embodied through technological change makes future prospects much brighter for such a country. [ABSTRACT FROM AUTHOR]

This paper argues that democracy enhances technological change, the most important determinant of long-term economic growth. It first presents an argument on how and why dictators restrict civil liberties and diffusion of information to survive in office, even if this reduces their personal consumption. The argument predicts that autocracies have slower technological change than democracies, which in turn impairs GDP per capita growth rates. These and other implications from the argument are tested empirically, and so are implications from alternative explanations on the association between democracy and technological change. Drawing on an extensive global dataset, with some time series going back to the early 19th century, the paper reports robust evidence that democracy increases not only technology-induced growth but also net economic growth rates. Notably, the results hold when accounting for the endogeneity of democracy, country-fixed effects, and sample-selection bias. [ABSTRACT FROM AUTHOR]

Empirical studies on international trade highlight the role of innovation on international exchange but do not capture the effect of technological innovation when unobservable common factors (UCFs) are considered. This paper examines the long‐run relationship between technological innovation and international exchange using panel data for eight African countries over the period 1981–2013. The non‐stationarity and cointegration between technological innovation, international exchange, public investment, real gross domestic income and foreign direct investment were examined, controlling for cross‐sectional dependence and heterogeneity between countries. The results suggest that technological innovation in Africa remains low after controlling for UCFs, while public investment, real gross domestic product and foreign direct investment have significant impact on international exchange. Moreover, the results from the homogeneous and heterogeneous estimates, with and without UCFs, show that ignoring UCFs is likely to bias the coefficients. These findings reveal that African countries should invest more in public infrastructures and research and development to upgrade their capability To play an active role in the international market. [ABSTRACT FROM AUTHOR]

Financial development is influenced by the dynamics of multiple factors which have remained insufficiently explored up to date. In view of this, an attempt is made in this paper to investigate the impact of internet adoption on financial development in sub‐Saharan Africa, using Nigeria and Kenya as case studies. The dynamic ordinary least squares and vector error correction mechanism methods were employed in the study which revealed that the internet, complemented by financial openness, exerted a significant positive impact on financial development in the period 2000–16. The null hypothesis which states that the internet does not encourage financial development is therefore rejected. It follows that the level of financial development in both countries, and indeed most countries in sub‐Saharan Africa, could be enhanced by adopting appropriate policies that encourage more inclusive use of the internet. The policy recommendations of this study therefore include (i) relaxing the stringent requirements for licensing internet operators in order to make more services available for financial transactions, (ii) integrating internet technology into the national infrastructure framework in order to sustain its application, (iii) fostering local skills and expertise that will be maintaining internet infrastructure and (iv) providing a legal framework that protects personal information and ensures responsible usage of internet. [ABSTRACT FROM AUTHOR]

Summary: A substantial literature exists on the effects of military expenditures on economic growth, yet no study has analyzed the effects of military occupation other than in anecdotal cases. This paper uses a panel of 214 countries from 1950 to 2013 to study how economic growth is impacted by different forms of military occupation. Transformative occupations aim to establish institutions to promote stability once the occupation ends, while subdual occupations are more malevolent in their objectives. Our results show that transformative occupations produce positive growth in occupied countries after the occupation period concludes. Separating these effects into the short run and long run, we find that while countries subject to a subdual occupation experience a short‐run increase in growth at the end of the occupation, countries with transformative occupation experience long‐run increases in growth. These findings are robust to the inclusion of traditional drivers of growth. Policy implications suggest that regional conflicts that are solved using military intervention may have lasting effects on growth as long as the intentions of the occupying force are transformative in nature. [ABSTRACT FROM AUTHOR]

In the innovation and development literature, natural resources ( NR) are generally viewed as a curse for developing nations and NR-based industries as having little potential to innovate and drive long-term growth. This has led policy and development experts to opt for strategies to induce a shift in the pattern of specialization towards other sectors. This paper proposes a different approach. By exploring recent evidence from the Argentinean agricultural sector and the mining industry in Chile, it points to the window of opportunity that NR industries offer as a platform to develop knowledge intensive industries with which to support economic development in resource-endowed countries. The lessons drawn from these findings suggest that development strategies can also promote more innovative knowledge intensive NR-based industries rather than moving away from them. [ABSTRACT FROM AUTHOR]

Environmental issues have become increasingly important for companies and society in general, and information about them is of concern, to the extent that many companies have been criticized for their negative impact on the environment, rather than for their technological and economic performance. This paper attempts to go a step further by developing an index of environmental issues from the Thomson Reuters Eikon database using statistical techniques to analyze the type of environmental information that companies report internationally. An index of 71 environmental variables was constructed and a dependency model was set up to determine the explanatory variables that may influence this index of environmental disclosure. Innovation, economic development and geographical areas are some of the variables used that have been less tested in previous studies. [ABSTRACT FROM AUTHOR]

Sraffa's book Production of Commodities by Means of Commodities begins with the following (p. 3): Let us consider an extremely simple society .... Commodities are produced by separate industries and are exchanged for one another at a market held after the harvest. One of Sraffa's objectives is to determine the... set of exchange‐values which if adopted by the market restores the original distribution of the products and makes it possible for the process to be repeated; such values spring directly from the methods of production (p. 3, emphasis added). so that the system is in a self‐replacing state. Furthermore, Sraffa assumed the rate of profits... to be uniform in all industries (p. 98), emphasis added. This paper studies the self‐replacing properties of the system without assuming a uniform rate of profits. [ABSTRACT FROM AUTHOR]

This paper presents a simple yet useful framework to analyze the interactions between population growth and economic development to account for the demographic transition. The nonmonotonic relationship is derived from two key factors: Stone–Geary preferences and increasing child‐raising costs. Increase in income raises fertility through the income effect but reduces it through the substitution of the children by consumption due to increased child‐raising costs. When households are poor, fertility increases with income because the income effect is dominant due to Stone–Geary preferences. When, in contrast, they are rich enough, fertility decreases with income because the substitution effect is dominant. While the population growth rate is constant in the Solow growth model, it changes endogenously in our model. Consequently, it produces rich dynamics of income and population depending on the speed of technological progress. [ABSTRACT FROM AUTHOR]

This paper aims to investigate the impacts of different sources of innovation funding on company performances in the context of an emerging economy. Brazilian software companies are selected as a case for this investigation. Data – related to the types of funding support received and eight types of company performances measured in binary scales – was collected through an online survey from 188 companies located across Brazil. A multivariate probit model was estimated to assess the impacts of different funding schemes on company performances – controlling for other confounding effects. The findings confirmed the critical importance of public innovation funding, and revealed that companies that: (1) Used public funds were more likely to become nationally competitive; (2) Used loans from commercial banks were less likely to become nationally and internationally competitive; (3) Reinvested revenues were more likely to gain market share, and help in increasing the number of employees; (4) Not aware of public funding schemes were less likely to invest on research, development, and innovation. The overall findings suggest the positive impacts of innovation funds on company performance. They can serve as a policy guide to develop targeted performance strategy to determine which funding scheme would be effective to foster what outcomes. [ABSTRACT FROM AUTHOR]

ABSTRACT By drawing on the Schumpeterian distinction between invention (i.e., new ideas and knowledge creation) and commercialization of new ideas (i.e., innovation), this paper shows that knowledge and innovation are both important drivers of economic growth, but have heterogeneous spatial impacts. In particular, the growth benefits accruing from knowledge seem rather selective and concentrated across space whereas the growth benefits generated by innovation seem more diffusive, and regions innovating in the absence of a strong local knowledge base can be as successful as more knowledge-intensive regions in turning innovation into a higher growth rate, possibly by exploiting local informal knowledge and/or knowledge spillovers. These results are of great importance for the design of research and innovation policies within the frame of the Europe 2020 strategy. [ABSTRACT FROM AUTHOR]

The article comments on papers examining the role of entrepreneurship, technological innovation and continual adaptation for successful agricultural producers and agribusiness firms. One of the papers argues that while entrepreneurship may be, in part, genetically determined, it can be improved and encouraged through targeted education. The researchers suggest that enhancing entrepreneurship is particularly important in agriculture, and thus should be a priority in developing education programs at land-grant universities. Another paper discusses the role of universities to play in transferring technology to the private sector, but the processes and procedures for doing so are still quite immature. In one of the papers, researches are suggesting that internal analytical capabilities that drive a firm's on-going adjustments to new market/consumer realities are central to long-term success. These papers offer a starting point for continued discussions on how land-grant universities can adapt teaching, research, and outreach/technology transfer programs to better respond to the needs of entrepreneurs and, in turn, promote economic development.

Abstract: This paper deals with the problem of new intermediate products within a simple model, where production is circular and goods enter into the production of other goods. It studies the process by which the new good is absorbed into the economy and the structural transformation that goes with it. By means of a long‐period method the forces of structural transformation are examined, in particular the shift of existing means of production towards the innovation and the mechanism of differential growth in terms of alternative techniques and their associated systems of production. We treat two important Schumpeterian topics: the question of technological unemployment and the problem of ‘forced saving’ and the related problem of an involuntary reduction of real consumption per capita. It is shown that both phenomena are potential by‐products of the transformation process. [ABSTRACT FROM AUTHOR]

Innovation processes in emerging economies tend to differ from those in developed countries in that a larger share of firms absorb existing knowledge. The paper assesses how firms' absorptive capacity mediates the impact of global value chains on the innovation of handicraft exports in Yogyakarta, Indonesia. The study draws three conclusions. First, the incremental innovation of craft exporters demands specific but rather mundane absorptive capacities of firms, such as language abilities and capable departments. Second, and contrary to what might be expected, the study finds that the governance modes of global value chains do not significantly affect the level of innovation. Third, a group of traders have the highest level of innovation, the highest level of absorptive capacity, and they positively affect the innovation of suppliers. Overall, the findings show that knowledge diffusion is furthered within an emerging local innovation system. [ABSTRACT FROM AUTHOR]

Innovation is essential for sustaining growth and economic development in a world that faces population increase, natural resource depletion, and environmental challenges. Incentives play a critical role in innovation because the required research and development activities are costly, and the resulting knowledge has the attributes of a public good. This paper discusses the economics of institutions and policies meant to provide incentives for research and innovation, and focuses on intellectual property rights, specifically patents, contracted research (for example grants), and innovation prizes. The main economic implications of these institutions are discussed, with particular attention paid to open questions and recent contributions. [ABSTRACT FROM AUTHOR]

This paper proposes the notion of territorial patterns of innovation as a new conceptualization to understand the relationship among knowledge, innovation, and economic growth at the regional level. The territorial patterns of innovation approach reject the simplistic view of an invention-innovation equivalence and advance alternative patterns, alternative ways in which knowledge and innovation can take place and mix in space. Each of them represents a different way of innovating, one not necessarily more efficient than the other. On the empirical ground, the paper demonstrates this statement for all NUTS2 regions of the 27 European Union states by showing that the efficiency in taking advantage of innovation does not only link to the strength of the local knowledge base; rather, territorial patterns of innovation characterized by relatively low knowledge intensity can be relatively more efficient in grasping and exploiting innovation returns for growing. Interesting policy implications can be drawn from the empirical analysis presented. If the results do not deny the importance of research and development ( R&D) activities for regional growth, and therefore the right focus put forward by the Europe 2020 on a 'smart growth' based on knowledge and innovation, they call for particular attention when the Europe 2020 goal is translated into a regional setting. [ABSTRACT FROM AUTHOR]

This paper assesses both interregional and intraregional innovation inequality in China from 1995 to 2006. It is revealed that the east-central-west inequality has increased over time, whereas the inter-provincial inequality showed a V-pattern until 2003; Both inequality measures oscillated from 2004 to 2006. Using a decomposition framework recently developed by one of the authors, we determined that the major factors driving innovation inequality are population, economic development level, R&D, location and openness. The aggravated innovation inequality reflects the growth of China's innovation centers in the eastern region and their admission into the global innovation networks. The fact that R&D is a major factor driving the inequality suggests that, considered in the present study, the efficiency of R&D investment improved in certian regions during the period (1995-2006). Finally, geographic location and openness affect innovation inequality primarily through the coupled evolution of innovation capability and economic development, resulting in first-mover advantages to provinces of the eastern region. [ABSTRACT FROM AUTHOR]

In recent years, interest has soared in the development potential of well-designed cash transfer programs. One particular application is the use of transfers by resource-rich countries (as recently initiated by Iran) to distribute rents across their populations. An emerging body of research suggests that the development impact of such programs tends to be positive and that, especially when received by poor individuals or households, they can unlock constraints on economic activities, allowing a further increase in income. This paper considers the use of biometric technology to underpin transfer programs and how new technology is opening up possibilities for effective transfer programs that, up to now, have only been a theoretical option in the institutional conditions that prevail in many developing countries. Once implemented, biometric identification systems can be used to support a wide range of other development initiatives including banking, voting, health care, and general identification systems. The paper reviews some of the programs using these technologies and how it is enabling poor countries to leapfrog rich ones in the area of identity, much as the cellphone revolution did in the area of communications. [ABSTRACT FROM AUTHOR]

This paper introduces and partially develops a new model of endogenous technological change, viewed as the product of a class of problem-solving producers. The model, based on earlier work by Eaton and Kortum, is built up from the premise that all knowledge resides in the head of some individual person and the knowledge of a firm, or economy, or any group of people is simply the knowledge of the individuals that comprise it. The model is applied to an economy with a cohort structure. A calibration of the model using cross-section earnings data, in addition to aggregate GDP growth, is considered. [ABSTRACT FROM AUTHOR]