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To Be or Not To Be Innovative: An Exercise in Measurement

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  • Jacques Mairesse
  • Pierre Mohnen

Abstract

In this paper, we put forward the idea of an innovation accounting framework and consider two main indicators based on it: expected innovation and innovativeness. The framework is the analogue of the standard framework of economic growth accounting, with innovativeness being a parallel notion to that of (total factor) productivity. We provide an illustration of the idea using data from the European Community Innovation Surveys (CIS1 and CIS2) and measuring innovation by the share of firm innovative sales. We adopt a generalized tobit model of the propensity and intensity of innovation as our accounting framework. We first apply the framework to a comparison of the innovation performance of French manufacturing industries, while also checking the robustness of our estimates to the use of micro- aggregated firm data provided by Eurostat versus the original individual firm data. We also provide an overview of the results of a larger comparison of innovation across seven European countries.

Suggested Citation

  • Jacques Mairesse & Pierre Mohnen, 2001. "To Be or Not To Be Innovative: An Exercise in Measurement," NBER Working Papers 8644, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:8644
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    References listed on IDEAS

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    1. Pierre Mohnen & Jacques Mairesse & Marcel Dagenais, 2006. "Innovativity: A comparison across seven European countries," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 15(4-5), pages 391-413.
    2. Crepon, B. & Duguet, E. & Mairesse, J., 1998. "Research Investment, Innovation and Productivity: An Econometric Analysis at the Firm Level," Papiers d'Economie Mathématique et Applications 98.15, Université Panthéon-Sorbonne (Paris 1).
    3. Zvi Griliches, 1998. "Productivity and R&D at the Firm Level," NBER Chapters, in: R&D and Productivity: The Econometric Evidence, pages 100-133, National Bureau of Economic Research, Inc.
    4. Bruno Crepon & Emmanuel Duguet & Jacques Mairesse, 1998. "Research, Innovation And Productivity: An Econometric Analysis At The Firm Level," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 7(2), pages 115-158.
    5. Zvi Griliches & Jacques Mairesse, 1981. "Productivity and R and D at the Firm Level," NBER Working Papers 0826, National Bureau of Economic Research, Inc.
    6. Pierre Mohnen & Marcel Dagenais, 2002. "Towards an Innovation Intensity Index: The Case of CIS 1 in Denmark and Ireland," Palgrave Macmillan Books, in: Alfred Kleinknecht & Pierre Mohnen (ed.), Innovation and Firm Performance, chapter 1, pages 3-30, Palgrave Macmillan.
    7. Jean O. Lanjouw & Mark Schankerman, 1999. "The Quality of Ideas: Measuring Innovation with Multiple Indicators," NBER Working Papers 7345, National Bureau of Economic Research, Inc.
    8. Caves, Douglas W & Christensen, Laurits R & Diewert, W Erwin, 1982. "Multilateral Comparisons of Output, Input, and Productivity Using Superlative Index Numbers," Economic Journal, Royal Economic Society, vol. 92(365), pages 73-86, March.
    9. repec:crs:wpaper:9833 is not listed on IDEAS
    10. Griliches, Zvi, 1998. "R&D and Productivity," National Bureau of Economic Research Books, University of Chicago Press, edition 1, number 9780226308869.
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    JEL classification:

    • C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General

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