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Rationales for public policy intervention from a systems of innovation approach: the case of VINNOVA

This paper discusses the implications of the adoption of the National Innovation Systems approach for innovation policy. It starts by positioning the 'systemic' approach against other theoretical approaches, such as neoclassical theories. The authors argue that the adoption of one or the other frameworks leads to different criteria for intervention. The main rationales for public intervention under each approach are then discussed. We make a distinction between classic market failures (grounded in neoclassical theory) and systemic problems -often called systemic failures - (grounded in the evolutionary/systemic approaches). On the basis of this, the authors will discuss other important issues to be considered when discussing public policy intervention under a system of innovation. The example of VINNOVA will be used to illustrate the discussion.

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File URL: http://www.circle.lu.se/upload/CIRCLE/workingpapers/200604_Chaminade_Edquist.pdf
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Paper provided by Lund University, CIRCLE - Center for Innovation, Research and Competences in the Learning Economy in its series Papers in Innovation Studies with number 2006/4.

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Length: 20 pages
Date of creation: 01 Mar 2006
Date of revision:
Handle: RePEc:hhs:lucirc:2006_004
Contact details of provider: Postal: CIRCLE, Lund University, PO Box 117, SE-22100 Lund, Sweden
Phone: +46 (0) 46 222 74 68
Web page: http://www.circle.lu.se/

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  1. Ejermo, Olof & Kander, Astrid, 2006. "The Swedish Paradox," Papers in Innovation Studies 2006/1, Lund University, CIRCLE - Center for Innovation, Research and Competences in the Learning Economy.
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