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Design of Innovation Policy through Diagnostic Analysis: Identification of Systemic Problems (or Failures)

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Author Info
Edquist, Charles ()
Abstract

‘Activities’ in innovation systems are the determinants of the development and diffusion of innovations. Examples are R&D, provision of organizations and institutions, financing of innovations, incubation, etc. These activities are partly performed by private organizations and partly by public organizations, the latter performing tasks that constitute innovation policy. As a basis for innovation policy, the problems (failures) in the systems must be identified. These ‘systemic problems’ or ‘policy problems’ can be identified only by means of comparing existing innovation systems with each other – over time and space. It is on this basis that the division of labor between public and private organizations must be analyzed, a division of labor that varies from country to country and over time. Determining this division of labor is a matter of strategic choices in innovation policy-making. This paper focuses upon the design of innovation policy through diagnostic analysis; it provides a framework for identification of systemic problems (or failures) in innovation systems.

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Paper provided by CIRCLE (Centre for Innovation, Research and Competence in the Learning Economy), Lund University in its series CIRCLE Electronic Working Paper Series with number 2008-06.

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Date of creation: 2008
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Handle: RePEc:cil:wpaper:152

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Related research
Keywords: Innovation Systems; systemic problems; Innovation Policy Disclaimer:;

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Find related papers by JEL classification:
O31 - Economic Development, Technological Change, and Growth - - Technological Change - - - Innovation and Invention: Processes and Incentives
O32 - Economic Development, Technological Change, and Growth - - Technological Change - - - Management of Technological Innovation and R&D
O33 - Economic Development, Technological Change, and Growth - - Technological Change - - - Technological Change: Choices and Consequences; Diffusion Processes
O34 - Economic Development, Technological Change, and Growth - - Technological Change - - - Intellectual Property Rights
O38 - Economic Development, Technological Change, and Growth - - Technological Change - - - Government Policy
N5 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries
O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
R58 - Urban, Rural, and Regional Economics - - Regional Government Analysis - - - Regional Development Policy

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  1. Edquist, Charles & Chaminade, Cristina, 2009. "Industrial policy from a systems-of-innovation perspective," EIB Papers 5/2006, European Investment Bank, Economic and Financial Studies. [Downloadable!]
  2. Lundvall, Bengt-Ake & Johnson, Bjorn & Andersen, Esben Sloth & Dalum, Bent, 2002. "National systems of production, innovation and competence building," Research Policy, Elsevier, vol. 31(2), pages 213-231, February. [Downloadable!] (restricted)
  3. Borras, Susana & Chaminade, Cristina & Edquist, Charles, 2008. "The Challenges of Globalisation: Strategic Choices for Innovation Policy," CIRCLE Electronic Working Paper Series 2008-09, CIRCLE (Centre for Innovation, Research and Competence in the Learning Economy), Lund University. [Downloadable!]
  4. Liu, Xielin & White, Steven, 2001. "Comparing innovation systems: a framework and application to China's transitional context," Research Policy, Elsevier, vol. 30(7), pages 1091-1114, August. [Downloadable!] (restricted)
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