Measuring the Knowledge Economy – Intangible Spending and Investment in Germany
Intangible assets are largely ignored by the “traditional” System of National Accounts (SNA), although they play an increasingly important economic role. The reasons for this are the substantial measurement and valuation problems. This article applies a methodology based on Hulten (1979) and Corrado et al. (2005) to provide some indications on the amount of investment in intangible goods in the German economy. I discuss the proposed categorization approach and quantify the different components for the German economy, drawing on a number of different data sources. I show that the amount of investment in intangibles is significant. An inclusion into the SNAwould add around Euro 142.4 bn to total investment in the German economy in 2004. This corresponds to an increase of almost 70%. However, an international comparison shows that Germany falls short in terms of intangible spending relative to the US and UK.
Volume (Year): 232 (2012)
Issue (Month): 1 (January)
|Contact details of provider:|| Postal: |
Phone: +49 (0)641 99 22 001
Fax: +49 (0)641 99 22 009
Web page: http://wiwi.uni-giessen.de/home/oekonometrie/Jahrbuecher/
More information through EDIRC
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.:
- Carol J. Simon & Mary W. Sullivan, 1993. "The Measurement and Determinants of Brand Equity: A Financial Approach," Marketing Science, INFORMS, vol. 12(1), pages 28-52.
- Mendonca, Sandro & Pereira, Tiago Santos & Godinho, Manuel Mira, 2004.
"Trademarks as an indicator of innovation and industrial change,"
Elsevier, vol. 33(9), pages 1385-1404, November.
- Sandro Mendonça & Tiago Santos Pereira & Manuel Mira Godinho, 2004. "Trademarks as an Indicator of Innovation and Industrial Change," LEM Papers Series 2004/15, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
- Landes, William M & Posner, Richard A, 1987. "Trademark Law: An Economic Perspective," Journal of Law and Economics, University of Chicago Press, vol. 30(2), pages 265-309, October.
- Giorgio Marrano, Mauro & Haskel, Jonathan, 2007.
"How Much Does the UK Invest in Intangible Assets?,"
CEPR Discussion Papers
6287, C.E.P.R. Discussion Papers.
- Ulrich Schmoch & Stephan Gauch, 2009. "Service marks as indicators for innovation in knowledge-based services," Research Evaluation, Oxford University Press, vol. 18(4), pages 323-335, October.
- Cockburn, Iain & Griliches, Zvi, 1988.
"Industry Effects and Appropriability Measures in the Stock Market's Valuation of R&D and Patents,"
American Economic Review,
American Economic Association, vol. 78(2), pages 419-23, May.
- Iain Cockburn & Zvi Griliches, 1987. "Industry Effects and Appropriability Measures in the Stock Markets Valuation of R&D and Patents," NBER Working Papers 2465, National Bureau of Economic Research, Inc.
- Carol Corrado & Charles Hulten & Daniel Sichel, 2009. "Intangible Capital And U.S. Economic Growth," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 55(3), pages 661-685, 09.
- Jalava, Jukka & Aulin-Ahmavaara, Pirkko & Alanen, Aku, 2007. "Intangible Capital in the Finnish Business Sector 1975-2005," Discussion Papers 1103, The Research Institute of the Finnish Economy.
- Jensen, Michael C. & Meckling, William H., 1976. "Theory of the firm: Managerial behavior, agency costs and ownership structure," Journal of Financial Economics, Elsevier, vol. 3(4), pages 305-360, October.
- FUKAO Kyoji & HAMAGATA Sumio & MIYAGAWA Tsutomu & TONOGI Konomi, 2007.
"Intangible Investment in Japan: Measurement and Contribution to Economic Growth,"
07034, Research Institute of Economy, Trade and Industry (RIETI).
- Kyoji Fukao & Tsutomu Miyagawa & Kentaro Mukai & Yukio Shinoda & Konomi Tonogi, 2009. "Intangible Investment In Japan: Measurement And Contribution To Economic Growth," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 55(3), pages 717-736, 09.
- Mauro Giorgio Marrano & Jonathan Haskel & Gavin Wallis, 2009.
"What Happened To The Knowledge Economy? Ict, Intangible Investment, And Britain'S Productivity Record Revisited,"
Review of Income and Wealth,
International Association for Research in Income and Wealth, vol. 55(3), pages 686-716, 09.
- Mauro Giorgio Marrano & Jonathan Haskel & Gavin Wallis, 2007. "What Happened to the Knowledge Economy? ICT, Intangible Investment and Britain's Productivity Record Revisited," Working Papers 603, Queen Mary University of London, School of Economics and Finance.
- Carol Corrado & Charles Hulten & Daniel Sichel, 2005.
"Measuring Capital and Technology: An Expanded Framework,"
in: Measuring Capital in the New Economy, pages 11-46
National Bureau of Economic Research, Inc.
- Carol Corrado & Charles Hulten & Daniel Sichel, 2004. "Measuring capital and technology: an expanded framework," Finance and Economics Discussion Series 2004-65, Board of Governors of the Federal Reserve System (U.S.).
- Nelson, Philip, 1974. "Advertising as Information," Journal of Political Economy, University of Chicago Press, vol. 82(4), pages 729-54, July/Aug..
- van Ark, Bart & Hao, Janet X. & Corrado, Carol & Hulten, Charles, 2009. "Measuring intangible capital and its contribution to economic growth in Europe," EIB Papers 3/2009, European Investment Bank, Economics Department.
- Landes, Elisabeth M & Rosenfield, Andrew M, 1994. "The Durability of Advertising Revisited," Journal of Industrial Economics, Wiley Blackwell, vol. 42(3), pages 263-76, September.
- François Lequiller & Nadim Ahmad & Seppo Varjonen & William Cave & Kil-Hyo Ahn, 2003. "Report of the OECD Task Force on Software Measurement in the National Accounts," OECD Statistics Working Papers 2003/1, OECD Publishing.
- Christine Greenhalgh & Mark Rogers, 2007. "The value of intellectual property rights to firms and society," Oxford Review of Economic Policy, Oxford University Press, vol. 23(4), pages 541-567, Winter.
When requesting a correction, please mention this item's handle: RePEc:jns:jbstat:v:232:y:2012:i:1:p:12-30. 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: (Peter Winker)
If references are entirely missing, you can add them using this form.