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Innovation and Social Capital: A Cross-Country Investigation

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Listed:
  • Soogwan Doh
  • Zoltan Acs

Abstract

This study explores the impact of social capital on innovation by constructing a more general measure of social capital, which consists of generalized and institutional trust, associational activities and civic norms. We test the hypothesis that social capital has a positive impact on innovation at the national level. After controlling for research and development expenditure and human capital, we find that there is a positive relationship between social capital and innovation. Social capital interacts with entrepreneurship; the strongest relationship is between associated activities and entrepreneurship. This study supports the need to build strong social relationships in today's networked economy.

Suggested Citation

  • Soogwan Doh & Zoltan Acs, 2010. "Innovation and Social Capital: A Cross-Country Investigation," Industry and Innovation, Taylor & Francis Journals, vol. 17(3), pages 241-262.
    • Handle: RePEc:taf:indinn:v:17:y:2010:i:3:p:241-262
    DOI: 10.1080/13662711003790569
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    Citations

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    Cited by:

    1. Azam, Sardor, 2017. "A cross-country empirical test of cognitive abilities and innovation nexus," International Journal of Educational Development, Elsevier, vol. 53(C), pages 128-136.
    2. repec:eee:jbrese:v:83:y:2018:i:c:p:51-64 is not listed on IDEAS
    3. Zhang, Yanlong, 2015. "The contingent value of social resources: Entrepreneurs' use of debt-financing sources in Western China," Journal of Business Venturing, Elsevier, vol. 30(3), pages 390-406.
    4. Doh, Soogwan & Kim, Byungkyu, 2014. "Government support for SME innovations in the regional industries: The case of government financial support program in South Korea," Research Policy, Elsevier, vol. 43(9), pages 1557-1569.
    5. Soogwan Doh & Edmund J. Zolnik, 2012. "Social capital and entrepreneurship: an empirical analysis of the role of social capital in self-employment," Chapters,in: Entrepreneurship, Social Capital and Governance, chapter 7, pages 160-191 Edward Elgar Publishing.
    6. Oasis Kodila-Tedika & Julius Agbor, 2016. "Does Trust Matter for Entrepreneurship: Evidence from a Cross-Section of Countries," Economies, MDPI, Open Access Journal, vol. 4(1), pages 1-17, March.
    7. Hvižďáková Ivana & Urbančíková Nataša, 2014. "The Level of Social Capital, Innovation and Competitiveness in the Countries of the European Union (EU)," European Spatial Research and Policy, De Gruyter Open, vol. 21(1), pages 1-14, May.
    8. Matthias Siller & Christoph Hauser & Janette Walde & Gottfried Tappeiner, 2015. "Measuring regional innovation in one dimension: More lost than gained?," Working Papers 2015-14, Faculty of Economics and Statistics, University of Innsbruck.
    9. Zhang, Yanlong & Zhou, Xiaoyu & Lei, Wei, 2017. "Social Capital and Its Contingent Value in Poverty Reduction: Evidence from Western China," World Development, Elsevier, vol. 93(C), pages 350-361.
    10. Semih Akçomak & Hanna Müller-Zick, 2013. "Trust and Innovation in Europe: Causal, spatial and non-linear forces," STPS Working Papers 1304, STPS - Science and Technology Policy Studies Center, Middle East Technical University, revised Dec 2013.
    11. Qadri, Mubashar & Mamoon, Dawood, 2016. "Creating Shared Value: Social Capital as a Source to Drive Next Wave of Innovation for Socioeconomic Revenues," MPRA Paper 72554, University Library of Munich, Germany.

    More about this item

    Keywords

    Human capital; social capital; entrepreneurship; innovation;

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O5 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies

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