Does manufacturing stir up innovation?

Alex Coad () and Antonio Vezzani

No JRC108213, JRC Research Reports from Joint Research Centre

Abstract: Because of its positive contribution to employment and economic growth, the EU has set a manufacturing target of 20%. This could also boost R&D, productivity and exporting. Our analyses do not find empirical evidence that a large manufacturing sector has a direct influence on exporting activity or productivity growth. We find a positive association between manufacturing and R&D investment. The EU manufacturing strategy could help reaching the 3% R&D intensity target. However, the link between manufacturing and R&D depends on the industrial structure of a country. Support to new high-tech sectors should be coupled with actions to encourage technological upgrade in existing ones.

Keywords: Manufacturing; R&D; exporting; productivity; industrial policy; industrial renaissance (search for similar items in EconPapers)
Pages: 3 pages
Date: 2017-11
New Economics Papers: this item is included in nep-cse, nep-ino, nep-sbm and nep-tid
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:ipt:iptwpa:jrc108213

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