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The role of socio-historic factors and income inequality in global innovation

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  • Rajeev K. Goel
  • James W. Saunoris

Abstract

In order to better understand why some nations are more innovative than others, this paper considers the influence of socio-historic dimensions of colonialism and income inequality. Using data from 72 nations over the years 1997–2018, we find that ethnic income inequality (along with income inequality) and ethnolinguistic fractionalization of the population reduced the pace of innovation. These findings underscore the role of income distribution and other social factors in facilitating innovation. Furthermore, nations with a colonial past were more innovative, ceteris paribus, whereas nations with long histories (longevity) were no different from others. Finally, we found some support for presidential democracies fostering more innovation.

Suggested Citation

  • Rajeev K. Goel & James W. Saunoris, 2023. "The role of socio-historic factors and income inequality in global innovation," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 32(4), pages 498-518, May.
    • Handle: RePEc:taf:ecinnt:v:32:y:2023:i:4:p:498-518
    DOI: 10.1080/10438599.2021.1959326
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    Cited by:

    1. Rajeev K. Goel & James R. Jones & Salvatore Capasso, 2025. "Economic Growth Dividends from Global Book Production: Recent Evidence Around the Pandemic," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 16(4), pages 14762-14782, October.
    2. Albert N. Link, 2024. "Innovative activity and ethnic dynamics: an exploratory study of homophilic relationships among minority entrepreneurs," International Entrepreneurship and Management Journal, Springer, vol. 20(1), pages 253-264, March.

    More about this item

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy

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