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Innovation Theories: Relevance and Implications for Developing Country Innovation

Author

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  • Andréanne Léger
  • Sushmita Swaminathan

Abstract

Innovation is at the basis of economic development and as such, it is instrumental for developing countries. We review the literature on innovation from the perspectives of four select branches of economics to build a conceptual framework of innovation applicable to developing countries. The conceptual framework includes insights from the surveyed literature and identifies areas of further research. Finally, we conclude with policy recommendations for innovation policies in developing countries highlighting the fact that intellectual property protection is not likely to be at the basis of innovation in these countries.

Suggested Citation

  • Andréanne Léger & Sushmita Swaminathan, 2007. "Innovation Theories: Relevance and Implications for Developing Country Innovation," Discussion Papers of DIW Berlin 743, DIW Berlin, German Institute for Economic Research.
  • Handle: RePEc:diw:diwwpp:dp743
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    File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.75207.de/dp743.pdf
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    References listed on IDEAS

    as
    1. Alfranca, Oscar & Huffman, Wallace E, 2003. "Aggregate Private R&D Investments in Agriculture: The Role of Incentives, Public Policies, and Institutions," Economic Development and Cultural Change, University of Chicago Press, vol. 52(1), pages 1-21, October.
    2. Boldrin, Michele & Levine, David K., 2008. "Perfectly competitive innovation," Journal of Monetary Economics, Elsevier, vol. 55(3), pages 435-453, April.
    3. Ann E. Harrison & Brian J. Aitken, 1999. "Do Domestic Firms Benefit from Direct Foreign Investment? Evidence from Venezuela," American Economic Review, American Economic Association, vol. 89(3), pages 605-618, June.
    4. Kenneth Arrow, 1962. "Economic Welfare and the Allocation of Resources for Invention," NBER Chapters,in: The Rate and Direction of Inventive Activity: Economic and Social Factors, pages 609-626 National Bureau of Economic Research, Inc.
    5. Laura Bottazzi & Giovanni Peri, 2007. "The International Dynamics of R&D and Innovation in the Long Run and in The Short Run," Economic Journal, Royal Economic Society, vol. 117(518), pages 486-511, March.
    6. Erik Brynjolfsson & Lorin M. Hitt, 2003. "Computing Productivity: Firm-Level Evidence," The Review of Economics and Statistics, MIT Press, vol. 85(4), pages 793-808, November.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Antonescu, Daniela, 2015. "Theoretical and Practical Approaches of Innovation at Regional Level," MPRA Paper 68178, University Library of Munich, Germany.
    2. J.J. Voeten & W.A. Naudé, 2014. "Regulating the negative externalities of enterprise cluster innovations: lessons from Vietnam," Innovation and Development, Taylor & Francis Journals, vol. 4(2), pages 203-219, October.

    More about this item

    Keywords

    Innovation; Development; Absorptive Capacity;

    JEL classification:

    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • B41 - Schools of Economic Thought and Methodology - - Economic Methodology - - - Economic Methodology
    • P20 - Economic Systems - - Socialist Systems and Transition Economies - - - General

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