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The Non-Trivial Choice between Innovation Indicators

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Author Info
Alfred Kleinknecht
Kees van Montfort
Erik Brouwer

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Abstract

We discuss the strengths and weaknesses of five alternative innovation indicators: R&D, patent applications, total innovation expenditure and shares in sales taken by imitative and by innovative products as they were measured in the 1992 Community Innovation Survey (CIS) in the Netherlands. We conclude that the two most commonly used indicators (R&D and patent applications) have more (and more severe) weaknesses than is often assumed. Moreover, our factor analysis suggests that there is little correlation between the various indicators. This underlines the empirical relevance of various sources of bias of innovation indicators as discussed in this paper.

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Publisher Info
Article provided by Taylor and Francis Journals in its journal Economics of Innovation and New Technology.

Volume (Year): 11 (2002)
Issue (Month): 2 (January)
Pages: 109-121
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Handle: RePEc:taf:ecinnt:v:11:y:2002:i:2:p:109-121

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Related research
Keywords: R&D; Innovative Output; Total Innovation Expenditure; Patents; Factor Analysis;

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Paul Geroski & Steve Machin & John Van Reenen, 1993. "The Profitability of Innovating Firms," RAND Journal of Economics, The RAND Corporation, vol. 24(2), pages 198-211, Summer. [Downloadable!] (restricted)
  2. Brouwer, E. & Kleinknecht, A., 1995. "Measuring the unmeasurable: a country's non-R&D expenditure on product and service innovation," Serie Research Memoranda 0009, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics. [Downloadable!]
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  3. Zvi Griliches, 1984. "R & D, Patents, and Productivity," NBER Books, National Bureau of Economic Research, Inc, number gril84-1.
  4. Solomou, Solomos, 1986. "Innovation Clusters and Kondratieff Long Waves in Economic Growth," Cambridge Journal of Economics, Oxford University Press, vol. 10(2), pages 101-12, June.
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