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Innovation and Social Capital: A Cross-country Investigation

Author

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  • Soogwan Doh

    (George Mason University)

  • Zoltan J. Acs

    (George Mason University)

Abstract

This study explores the impact of social capital on innovation by constructing a more general measure of social capital indicator consisting 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 R&D expenditure and human capital there is a positive relationship between social capital and innovation. Social capital interacts with entrepreneurship and the strongest relationship is between associated activities and entrepreneurship. This is consistent with the need to build social relationships in today's networked economy.

Suggested Citation

  • Soogwan Doh & Zoltan J. Acs, 2009. "Innovation and Social Capital: A Cross-country Investigation," Jena Economics Research Papers 2009-082, Friedrich-Schiller-University Jena.
    • Handle: RePEc:jrp:jrpwrp:2009-082
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    References listed on IDEAS

    as
    1. Akçomak, I. Semih & ter Weel, Bas, 2009. "Social capital, innovation and growth: Evidence from Europe," European Economic Review, Elsevier, vol. 53(5), pages 544-567, July.
    2. David Audretsch & Max Keilbach, 2004. "Entrepreneurship Capital and Economic Performance," Regional Studies, Taylor & Francis Journals, vol. 38(8), pages 949-959.
    3. Edward L. Glaeser & Charles Redlick, 2008. "Social Capital and Urban Growth," NBER Working Papers 14374, National Bureau of Economic Research, Inc.
    4. Jolanda Hessels, 2008. "International Entrepreneurship: Value Creation Across National Borders," Scales Research Reports R200809, EIM Business and Policy Research.
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    Keywords

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    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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