Diversity in innovation and productivity in Europe
Francesco Crespi and
Mario Pianta
A chapter in Schumpeterian Perspectives on Innovation, Competition and Growth, 2009, pp 259-275 from Springer
Abstract:
Abstract The diversity in innovation patterns across manufacturing and service industries and in their outcomes in terms of hourly labor productivity are investigated in this article considering six European countries. The Schumpeterian insights into the variety of innovation are developed in this work by identifying different innovation–performance relationships for industries and countries, relying either on the dominant role of product innovation, or on the diffusion of process improvements. Moreover, the “push” effect of innovation is combined with the “pull” effect of demand, by considering the impact of the dynamics of consumption and investment at the sectoral level. The results point out a “North-South” divide across EU countries, with the three countries of Northern Europe closely associated to the model of productivity growth based on product innovation, and the three Southern countries, mainly relying on the mechanisms by which process innovation is at the root of productivity improvements.
Keywords: Product and process innovation; Productivity; Demand (search for similar items in EconPapers)
JEL-codes: O31 O33 O41 (search for similar items in EconPapers)
Date: 2009
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-540-93777-7_15
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DOI: 10.1007/978-3-540-93777-7_15
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