The Role of R&D Intensity and Education in a Model of Inequality, Growth and Risk of Poverty: Evidence from Europe

Richard Gardiner () and Petr Hajek ()
Additional contact information
Richard Gardiner: University of Pardubice
Petr Hajek: University of Pardubice

Journal of the Knowledge Economy, 2024, vol. 15, issue 1, No 73, 1845-1870

Abstract: Abstract Reducing inequality and risk of poverty has become a global challenge for sustainable development and improving quality of life because economic growth has not translated into inequality and risk of poverty alleviation. Therefore, the extent to which inequality, economic growth and risk of poverty interact has been a serious concern. However, previous studies have failed to incorporate the effects of R&D and education into the model of inequality, growth and risk of poverty. The purpose of this study was to contribute to the understanding of the role of R&D and education in the model by examining the dynamics of causal relationships. Consideration was given to heterogeneity and cross-sectional dependence across European Union countries over the period 2000 to 2018. Our findings provide evidence for the central importance of R&D intensity and education level in the model of inequality, growth and risk of poverty. Notably, our results argue for the feedback hypothesis between economic growth and R&D intensity for both old and new EU country samples. In addition, our results revealed the bidirectional favourable effect between R&D and inequality for old EU countries, while the adverse effect of R&D on risk of poverty was observed for new EU countries, implying that national and EU-wide policies for research and innovation should shift from an orientation towards economic growth to one towards societal challenges.

Keywords: Economic growth; Inequality; Risk of poverty; R&D; Education (search for similar items in EconPapers)
JEL-codes: I25 O15 O32 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1007/s13132-023-01169-0 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:jknowl:v:15:y:2024:i:1:d:10.1007_s13132-023-01169-0

Ordering information: This journal article can be ordered from
http://www.springer.com/economics/journal/13132

DOI: 10.1007/s13132-023-01169-0

Access Statistics for this article

Journal of the Knowledge Economy is currently edited by Elias G. Carayannis

More articles in Journal of the Knowledge Economy from Springer, Portland International Center for Management of Engineering and Technology (PICMET)
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().