Challenges for European Innovation Policy

Challenges for European Innovation Policy

Cohesion and Excellence from a Schumpeterian Perspective

Edited by Slavo Radosevic and Anna Kaderabkova

This book uniquely applies the Schumpeterian innovation policy perspective to the countries of Central and Eastern Europe. A broadly defined framework of the science, technology, innovation and growth system underpins the empirical and conceptual analysis of the critical issues including demand, FDI, finance and education.

Chapter 1: Innovation Policy in Multi-Tier Europe: Introduction

Anna Kaderabkova and Slavo Radosevic

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


Anna Kaderabkova and Slavo Radosevic This volume is the result of an expert group assembled under the auspices of the Czech European Union (EU) presidency in 2009. The group was mandated to explore innovation policy issues in the EU in light of the increased divergence of the EU27 and the realization that these differences require different policy approaches. The enlarged EU27 represents a new architecture of countries that can no longer be defined by a simple East– West divide, with most innovation indicators suggesting the existence of a multi-tier Europe in terms of innovation capacity (Radosevic, 2004; EC, 2009; also see Chapter 8 in this volume, Figure 8.1). It would be unrealistic, therefore, to expect that similar policies and indicators could be used to gauge and benchmark the innovation performance of these countries. Rather than a criterion of frontier technology, policies need to encompass sets of criteria relevant to the technology profiles of individual countries. This calls for a perspective that takes account of the cross-country heterogeneity of existing national systems of innovation (NSI) and the technology positions of countries in relation to the technology frontier. A countryspecific approach should be combined with sector-specific approaches, which highlight the diversity of technology modes across industry. This understanding of innovation and growth in Europe is not compatible with current policy practice. The main tenets of EU-level innovation policy were conceived before accession of the new member states (NMS) and were based on generic and horizontally-oriented policies applied in a uniform manner across...