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A Two‐Tier or Multi‐Tier Europe? Assessing the Innovation Capacities of Central and East European Countries in the Enlarged EU

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  • Slavo Radosevic

Abstract

This article assesses the innovation capacities of the candidate central and east European countries (CEECs) and the countries of the EU by using a new framework for measuring national innovation capacity (NIC), based on 25 indicators. Based on regression and cluster analysis the article shows that NIC in the enlarged EU does not follow a simple east–west divide. The wider Europe is structured into three groups of countries, and CEECs fall into two, the less‐developed and medium‐developed EU groups. NICs in the enlarged EU are assessed across four dimensions of capacity: absorptive, R&D, diffusion and demand. In each of these dimensions a two‐ to three‐tiering of countries is observed, which goes beyond a simple east–west pattern. The results of this assessment have important implications for new Member States and candidate countries, as well as for the EU policy towards structural assistance.

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  • Slavo Radosevic, 2004. "A Two‐Tier or Multi‐Tier Europe? Assessing the Innovation Capacities of Central and East European Countries in the Enlarged EU," Journal of Common Market Studies, Wiley Blackwell, vol. 42(3), pages 641-666, September.
    • Handle: RePEc:bla:jcmkts:v:42:y:2004:i:3:p:641-666
    DOI: 10.1111/j.0021-9886.2004.00522.x
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    1. Marlene K. Kirchner & Ľubor Košťál & Boris Bilčík & Christoph Winckler, 2017. "Mapping farm animal welfare research in an enlarged Europe: international collaboration, bibliometric output, research resources and relation to economic indices," Scientometrics, Springer;Akadémiai Kiadó, vol. 113(2), pages 909-922, November.
    2. Lee, Chien-Chiang & Zhao, Ya-Nan, 2025. "What affects national innovative capacity? The role of economic growth and trade openness," Economic Analysis and Policy, Elsevier, vol. 86(C), pages 1099-1118.
    3. Arjen van Witteloostuijn & Marcus Dejardin & Julie Hermans & Dendi Ramdani, & Johanna Vanderstraeten & Jacqueline Brassey & Hendrik Slabbinck, 2015. "Fitting entrepreneurial, firm-level and environmental contingencies for better performance," Post-Print halshs-01379907, HAL.
    4. Jude Cristina & Pop Silaghi Monica, 2011. "Innovation Versus Income Convergence In Central And Eastern Europe. Is There A Correlation?," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(1), pages 72-79, July.
    5. Erkki Karo & Rainer Kattel, 2009. "The Copying Paradox: Why Converging Policies but Diverging Capacities for Development in Eastern European Innovation Systems?," The Other Canon Foundation and Tallinn University of Technology Working Papers in Technology Governance and Economic Dynamics 24, TUT Ragnar Nurkse Department of Innovation and Governance.
    6. Krammer, Sorin M.S., 2009. "Drivers of national innovation in transition: Evidence from a panel of Eastern European countries," Research Policy, Elsevier, vol. 38(5), pages 845-860, June.
    7. Zhelyu Vladimirov, 2018. "Discussing Innovation Policy Biases in the New EU Member States," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 5, pages 3-26.
    8. Krammer, Marius /S.S., 2008. "Drivers of national innovative systems in transition: an Eastern European cross-country analysis," MPRA Paper 7739, University Library of Munich, Germany.
    9. Martin Srholec, 2015. "Understanding the diversity of cooperation on innovation across countries: multilevel evidence from Europe," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 24(1-2), pages 159-182, March.
    10. Radosevic, Slavo, 2022. "Techno-economic transformation in Eastern Europe and the former Soviet Union – A neo-Schumpeterian perspective," Research Policy, Elsevier, vol. 51(1).
    11. Vladimír Baláž, 2005. "Politika inovácií v Slovenskej republike [Innovation policy in the Slovak republic]," Politická ekonomie, Prague University of Economics and Business, vol. 2005(4), pages 513-526.
    12. Paul Vallance & Jiří Blažek & John Edwards & Viktor Květoň, 2018. "Smart specialisation in regions with less-developed research and innovation systems: A changing role for universities?," Environment and Planning C, , vol. 36(2), pages 219-238, March.
    13. Jiri Vanecek, 2008. "Bibliometric analysis of the Czech research publications from 1994 to 2005," Scientometrics, Springer;Akadémiai Kiadó, vol. 77(2), pages 345-360, November.
    14. Richard Connolly, 2013. "Developments in the Economies of Member States Outside the Eurozone," Journal of Common Market Studies, Wiley Blackwell, vol. 51, pages 201-218, September.
    15. Apostolos Vetsikas & Yeoryios Stamboulis, 2023. "A conceptual framework for modeling heterogeneous actors' behavior in national innovation systems," Journal of Evolutionary Economics, Springer, vol. 33(3), pages 773-796, July.
    16. Werner Hölzl, 2006. "Cohesion and Excellence. Two ways to a better Europe?," WIFO Studies, WIFO, number 28810, October.
    17. Andrea Filippetti & Antonio Peyrache, 2013. "Is the Convergence Party Over? Labour Productivity and the Technology Gap in Europe," Journal of Common Market Studies, Wiley Blackwell, vol. 51(6), pages 1006-1022, November.
    18. Dendi Ramdani & Arjen Witteloostuijn & Johanna Vanderstraeten & Julie Hermans & Marcus Dejardin, 2019. "The perceived benefits of the European Union standardization. An exploration according to firm size and firm capabilities," International Economics and Economic Policy, Springer, vol. 16(2), pages 379-396, April.
    19. Anna Kaderabkova & Slavo Radosevic, 2011. "Innovation Policy in Multi-Tier Europe: Introduction," Chapters, in: Slavo Radosevic & Anna Kaderabkova (ed.), Challenges for European Innovation Policy, chapter 1, Edward Elgar Publishing.
    20. Ondřej Pecha & Jiří Vaněček, 2015. "Analysis of the Czech and Hungarian physiology publications 1994–2011," Scientometrics, Springer;Akadémiai Kiadó, vol. 105(2), pages 991-1003, November.
    21. Nguyet Thi Minh Nguyen & Chau Minh Duong, 2019. "What Make the Impact of the Financial Crisis on Innovation Different Across European Countries?," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 16(06), pages 1-29, October.
    22. Rainer Kattel & Annalisa Primi, 2010. "The periphery paradox in innovation policy: Latin America and Eastern Europe Compared," The Other Canon Foundation and Tallinn University of Technology Working Papers in Technology Governance and Economic Dynamics 29, TUT Ragnar Nurkse Department of Innovation and Governance.
    23. Uros Delevic & Irina Heim, 2017. "Institutions In Transition: Is The Eu Integration Process Relevant For Inward Fdi In Transition European Economies?," Eurasian Journal of Economics and Finance, Eurasian Publications, vol. 5(1), pages 16-32.

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