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Innovation policy

In: Elgar Encyclopedia on the Economics of Knowledge and Innovation

Author

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  • Jan Fagerberg

Abstract

Innovation policy is a relatively new field of politics. The term itself dates back to about 1980 but only became in frequent use around the turn of the century. Its increasing popularity is related to the spread of a broader, systemic understanding of innovation, the so-called innovation system approach, emphasizing the central role of innovation in economic development as well as the broad range of factors influencing it. Moreover, since innovation is about problem-solving, innovation - and policies affecting it - may also be highly relevant for the solution of grand challenges, e.g., the climate challenge. This paper analyses the implications of a broad, systemic perspective for innovation policymaking, highlighting e.g., the needs for a holistic analysis of factors influencing innovation, adequate analytical capabilities, and improvements in governance that contribute to better coordination and alignment of public policies (influencing innovation) across different parts (and levels) of government.

Suggested Citation

  • Jan Fagerberg, 2022. "Innovation policy," Chapters, in: Cristiano Antonelli (ed.), Elgar Encyclopedia on the Economics of Knowledge and Innovation, chapter 28, pages 229-235, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:19760_28
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