Innovation, Catch-up and Sustainable Development: A Schumpeterian Perspective

Description

This volume presents selected contributions from the 2018 conference of the International Schumpeter Society (ISS). The selected chapters in this volume reflect the state-of-the-art of Schumpeterian economics dedicated to the three conference topics innovation, catch-up, and sustainability. Innovation is driving catch-up processes and is the condition for a transformation towards higher degrees of sustainability. Therefore, Schumpeterian economics has to play a key role in these most challenging fields of human societies’ development in the 21st century. The three topics are well suited to capture the great variety of issues, which have the potential to shape the scientific discussion in economics and related disciplines in the years to come.  The presented contributions show the broadness and high standard of Schumpeterian analysis. The ideas of dynamics, heterogeneity, novelty, and innovation as well as transformation are the most attractive fields in economics today and offer the most prolific interdisciplinary connections now and for the years to come when humankind, our global society, has to master the transition towards sustainable economic systems by solving the grand challenges and wicked problems with which we are confronted today.  Therefore, the book is a must-read for scholars, researchers, and students, interested in a better understanding of innovation, catch-up, and sustainability, and Schumpeterian economics in general. Contents Innovation, Catch-Up, and Sustainable Development: Introduction to the Proceedings from the 2018 ISS Conference 1 Conference Summary 2 Innovation 3 Catching Up 4 Sustainability 5 Conclusion and a Personal Note Part I: Innovation The Influence of Science and ``Industrial Enlightenment´´ on Steelmaking, 1786-1856 1 Introduction 2 Innovation Diagram, Technological Paradigms and Hierarchy 3 Relationship between the Science and Technology of Steelmaking 4 The Influence of Science and ``Industrial Enlightenment´´ on Steelmaking 5 Hierarchical Development of Scientific Knowledge and Technological Paradigms 6 The Emergence of a Technological Paradigm and the Field of Combining Science and Technology 7 Conclusions and Implications References Science and Technology Relatedness: The Case of DNA Nanoscience and DNA Nanotechnology 1 Introduction 2 Literature Review: From the SandT Relationship to SandT Relatedness 2.1 SandT Relationship and Interaction 2.2 From Knowledge Relatedness to SandT Relatedness 3 Methods and Data 3.1 Selecting SandT Domains: The Concept Approach 3.2 Selecting Knowledge Areas Within SandT 3.3 Measuring SandT Relatedness 3.4 Measuring the Temporal Relatedness Between SandT 3.5 Data 4 Empirical Analysis and Results 4.1 Descriptive Statistics of Two Corpora 4.2 SandT Content Relatedness 4.3 Temporal Relatedness Between SandT 5 Summary, Discussion, and Conclusion Annex. The Four Concepts Applied in the Concept Approach 1. Description of the Four Concepts, as Well as the Exclusion Mechanisms Used 2. Final Queries References Observable Factors of Innovation Strategy: Firm Activities and Industry Effects 1 Introduction 2 Background and Research Questions 2.1 What Is Innovation Strategy? 2.2 The External Factors of Innovation Strategy 2.3 Internal Factors of Innovation Strategies 3 Data and Methodology 3.1 Data 3.2 Methodology 4 Results 4.1 Results of Factor Analysis and the Definition of Strategy Variables 4.2 Observable External and Internal Factors of Innovation Strategies 4.3 Can Observable Factors ``Explain´´ Innovation Strategies? 5 Conclusions Appendix References The Value of Industry Studies: Impact of Luigi Orsenigo´s Legacy on the Field of Innovation and Industry Evolution 1 Introduction 2 The contribution of Luigi Orsenigo´s research 2.1 General statistics 2.2 Economics of Innovation and Technological Change in the Biotechnology and Pharmaceutical Industry 2.3 Impact on History Friendly Model Development 2.4 Sectoral Systems of Innovation 3 Innovation, Industrial Change, and Economics Evolution References Part II: Catching-up National innovation systems, economic complexity, and economic growth: country panel analysis using the US patent data 1 Introduction 2 Literature: NIS, economic complexity, and economic growth 2.1 Importance of innovation in achieving economic growth 2.2 Composite index of innovation for economic growth 3 Five NIS variables and the composite NIS index 3.1 Five NIS variables and US patent data 3.2 Generating an NIS composite index: Statistical methods versus simple summation 4 Econometric model and results 4.1 Models and key variables 4.2 Results: From NIS and ECI to economic growth 5 Concluding remarks Appendix References Regulation and product innovation: the intermediate role of resource reallocation 1 Introduction 2 Literature review and conceptual framework 2.1 Review of the regulatory framework in China 2.2 Regulation and innovation: A review 2.3 Conceptual framework 3 Methodology 3.1 Econometric models 3.2 Data and measurement 4 Results 4.1 Impact of regulation on the decision of product innovation 4.2 Impacts of regulation on product innovation intensity 4.3 Impact of regulation on product innovation via resources allocation 4.4 Robustness check 5 Conclusions and discussion 5.1 Conclusion 5.2 Discussion References Catch-Up and Reverse Catch-Up Processes in the Market for Lithium-Ion Batteries 1 Introduction 2 Theoretical Background 3 Methodology 4 Classical Catch-Up Processes in the Market for Lithium-Ion Batteries 4.1 The Early Evolution of the LIB Technology and Japanese Commercialization 4.2 Catch-Up of South Korean and Chinese Firms 4.2.1 The South Korean Successful Catch-Up 4.2.2 The Chinese Ongoing Catch-Up 5 Reverse Catch-Up for Europe and the USA? 5.1 Technology Induced Window of Opportunity 5.2 Demand Induced Window of Opportunity 6 Concluding Remarks References Is Drug Patent Protection a Determinant of the Location of Pharmaceutical FDI? China´s Experience 1 Introduction 2 Patent Protection and FDI: A Literature Review 2.1 The Divergent Relationship Between Patent Protection and FDI 2.1.1 Insignificant Impact of Patent Protection on FDI 2.1.2 A Positive Impact of Patent Protection on Inward FDI 2.1.3 A Negative Impact of Patent Protection on Inward FDI 2.2 Factors Explaining the Divergent Relationship ``Patent Protection-FDI´´ 2.2.1 Factors Related to the Firm´s Intrinsic Characteristics 2.2.2 Factors Related to the Industry 2.2.3 Factors Related to the Host Countries 3 Pharmaceutical Patent Laws and FDI Trends in China: Inventory of Fixtures 3.1 A Preview of the Pharmaceutical Industry in China 3.1.1 The Trends of Pharmaceutical FDI in China 3.1.2 The Location Advantages for Pharmaceutical FDI in China 3.2 The Patent System in China: Special Features and Trends 4 The Impact of Patent Protection on Pharmaceutical FDI in China: A Documentary Analysis 4.1 Methods 4.2 Assessing the Pharmaceutical Threat-of-Imitation in China 4.2.1 The Pharmaceutical Imitation Capacities in China 4.2.2 The Pharmaceutical Patent Protection in China 4.2.3 The Pharmaceutical Threat-of-Imitation in China 4.3 Research Assumptions, Data Analysis, and Results 4.3.1 Exploring the Pharmaceutical FDI Activities in China 4.3.2 Correlation Between the PPP Index and the Pharmaceutical FDI Inflows in China 5 Concluding Discussion References Total factor productivity, catch-up and technological congruence in Italy, 1861-2010 1 Introduction 1.1 Technological congruence 1.2 The Italian evidence 1861-2010 1.3 The dynamics of total factor productivity 1.4 Technological congruence and its determinants 2 Conclusions References Acting as an innovation niche seeder:how can the reverse salient of southeast Asian economies be overcome? 1 Introduction 2 Theoretical background 2.1 Reverse salients in the multi-level transitional process 2.2 The pros and cons of the FDI-leveraging catch-up model 2.3 Lessons from Taiwan´s SMEs: from a mass producer to a niche innovator 2.4 The reverse salient of SEA latecomers 3 Methodology 3.1 Locking-in the FDI and internet-of-thing as an opportunity for transitions 3.2 Taiwan´s innovation niche seeder approach and three action-oriented cases 3.3 Business models innovation research center (BMIRC) 3.4 Taiwan rapid innovation prototyping league for entrepreneurs (TRIPLE) 3.5 . Taiwan Innovation and Technology Arena (TITAN) 3.6 Overcoming the reverse salient of SEA economies in transition 4 Discussion and conclusion References Embeddedness and local patterns of innovation: evidence from Chinese prefectural cities 1 Introduction 2 Embeddedness of innovative activities in China 3 Local patterns of innovation across Chinese prefectural cities 4 Linking embeddedness with local patterns of innovation 4.1 Main estimates 4.2 Predicted probabilities 4.3 Tests of Robustness 5 Conclusions References Patent, Utility Model, and Economic Growth 1 Introduction 2 Literature 3 Theoretical Framework 4 Data and Methodology 4.1 Data 4.2 Methodology 5 Empirical Results 5.1 Country Panel Results 5.2 Firm Panel Results 6 Conclusions Appendix. List of Countries References Part III: Sustainability Schumpeterian economic dynamics of greening: propagation of green eco-platforms 1 Introduction 2 Greening of business: Emergence of eco-platforms 3 Green platforms 3.1 Green steel platform 3.2 Green food production platform 3.3 The tesla EV-PV platform 4 Smart green platforms 5 Business of greening: Economic drivers of the green shift 6 Evolutionary economic dynamics of greening 7 Transitional dynamics of greening 8 Why is China playing such a prominent role? 9 Concluding comments References Industrial life cycle: relevance of national markets in the development of new industries for energy technologies - the case o... 1 Introduction 2 Theoretical foundations 3 Empirical data and methods 4 Results 4.1 Global development 4.2 National development 4.2.1 Denmark 4.2.2 United States of America 4.2.3 Germany 4.2.4 India 4.2.5 Spain 4.2.6 China 4.2.7 Comparison of national developments 5 Conclusions Annex Regression Statistics Global Denmark United States of America Germany India Spain China References On application of the precautionary principle to ban GMVs: an evolutionary model of new seed technology integration 1 Introduction 2 Precautionary principle, new technology integration in agriculture and Nature 3 Farmer technology and compliance choices: a model 3.1 Systemic setting 3.2 Properties of profit functions (net of production costs) 3.3 Properties of payoff functions 3.4 Game setting 4 Co-evolutionary dynamics: Discussion of results 5 Policy reflection: so what about the precautionary principle? 6 Concluding remarks References