Advanced Search
MyIDEAS: Login

Innovation Capacity and Economic Development: China and India

Contents:

Author Info

  • Fan, Peilei
Registered author(s):

    Abstract

    Both China and India, the emerging giants in Asia, have achieved significant economic development in recent years. China has enjoyed a high annual GDP growth rate of 10 per cent and India has achieved an annual GDP growth rate of 6 per cent since 1981. Decomposing China and India?s GDP growth from 1981 to 2004 into the three factors? contribution reveals that technology has contributed significantly to both countries? GDP growth, especially in the 1990s. R&D outputs (high-tech exports, service exports, and certified patents from USPTO) and inputs (R&D expenditure and human resources) further indicate that both countries have been very committed to R&D and their output is quite efficient. Both governments have played an essential role in transforming their national innovation systems so that they can be more adaptable to economic development. The main focus of their reforms has been to link the science sector with the business sector and to provide incentives for innovation activities. Balancing import of technology and indigenous R&D effort is another major theme. Innovation capability development has become more and more critical to the success of biofirms in India and China. Institutional factors have great influence on choice of innovation at the firm level, i.e., the decision at firm level in terms of indigenous R&D or import of technology. Nevertheless, limited financial resources and insufficiently qualified human resources remain two major challenges for domestic companies in both countries.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.wider.unu.edu/stc/repec/pdfs/rp2008/rp2008-31.pdf
    Download Restriction: no

    Bibliographic Info

    Paper provided by World Institute for Development Economic Research (UNU-WIDER) in its series Working Paper Series with number RP2008/31.

    as in new window
    Length: 22 pages
    Date of creation: 2008
    Date of revision:
    Handle: RePEc:unu:wpaper:rp2008-31

    Contact details of provider:
    Postal: Katajanokanlaituri 6B, 00160 Helsinki
    Phone: +358-9-6159911
    Fax: +358-9-61599333
    Email:
    Web page: http://www.wider.unu.edu/
    More information through EDIRC

    Related research

    Keywords: China; India; innovation capability; domestic companies; ICT; biotech;

    This paper has been announced in the following NEP Reports:

    References

    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.:
    as in new window
    1. Young, Alwyn, 1995. "The Tyranny of Numbers: Confronting the Statistical Realities of the East Asian Growth Experience," The Quarterly Journal of Economics, MIT Press, vol. 110(3), pages 641-80, August.
    2. Deepak Lal, 1993. "India and China: Contrasts in Economic Liberalization," UCLA Economics Working Papers 706, UCLA Department of Economics.
    3. Kazuyuki Motohashi & Xiao Yun, 2005. "China's Innovation System Reform and Growing Industry and Science Linkages," Discussion papers 05011, Research Institute of Economy, Trade and Industry (RIETI).
    4. Aggarwal, Aradhna, 2000. "Deregulation, technology imports and in-house R&D efforts: an analysis of the Indian experience," Research Policy, Elsevier, vol. 29(9), pages 1081-1093, December.
    5. Mahmood, Ishtiaq P. & Singh, Jasjit, 2003. "Technological dynamism in Asia," Research Policy, Elsevier, vol. 32(6), pages 1031-1054, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Klimis Vogiatzoglou, 2009. "Determinants of Export Specialization in ICT Products: A Cross-Country Analysis," Working Papers 2009.3, International Network for Economic Research - INFER.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:unu:wpaper:rp2008-31. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Bruck Tadesse).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.