The Innovation Imperative

The Innovation Imperative

National Innovation Strategies in the Global Economy

Edited by Göran Marklund, Nicholas S. Vonortas and Charles W. Wessner

As a result of globalization, strategies for investments in innovation capabilities have gained considerably in importance for businesses, research institutions and policymakers. Public policy has to provide conditions for investments in R & D and innovation that are internationally attractive and effective in stimulating innovation, economic growth and job-creation. This book focuses on the changing roles and challenges of innovation and growth policy, and the strategies and measures that are critical in a globalizing world. It provides guidance for innovation policy strategy formulations and design of innovation policy measures.

Chapter 1: Introduction

Göran Marklund, Nicholas S. Vonortas and Charles W. Wessner

Subjects: economics and finance, economics of innovation, innovation and technology, economics of innovation, innovation policy

Extract

Göran Marklund, Nicholas S. Vonortas and Charles W. Wessner 1.1 GLOBALIZATION Globalization is rapidly changing the conditions for social interactions, economic processes and political agendas. In particular, globalization is affecting economic opportunities and economic competition. As a consequence, it has important impacts on the conditions for economic growth, wealth distribution and social welfare. In its most general sense, globalization refers to the worldwide integration of humanity and the compression of both the temporal and spatial dimensions of worldwide human interactions. However, it is more often discussed in the more limited sense of the increasing economic integration and economic interdependence of countries. Globalization is the consequence of the deeply intertwined and mutually interdependent evolution of economic, technological and social processes. The processes of spatial integration of production and technologies started in the earliest days of human history. It is only relatively recently, however, that these processes have had such an impact on the economic, technological and social integration of regions worldwide that the term globalization is warranted. Although a quite modern phenomenon, globalization is considerably older than is generally discussed in the now abundant literature on its size and consequences. Globalization, in terms of global flows of capital and, thus, of technology, productive capacity and economic power, is at the heart of the capitalist economic system. Hence, the roots of the driving forces of modern economic globalization go back to, at least, the late nineteenth century. The first significant wave of globalization took place in the period 1870...