International Innovation Comparisons : Insight or Illusion?

Recent developments in statistical methodologyhave facilitated international innovation comparisons. These, however,inevitably reflect both the industrial structure of the underlying economies,and the innovativeness of firms within each element of the industrialstructure. The authors consider the extent to which structural differences betweeneconomies can influence international innovation comparisons. The impact ofstructural differences is considered both in conceptual and in empirical terms,with the aid of data from the first and second Community Innovation Surveys(CIS1 and CIS2). Conceptual analysis suggests a very restricted range of scenarios underwhich structural adjustment will be effective. Empirical results are morereassuring, however, suggesting that, although structural effects are in somecases quite large, they do not significantly distort international innovationrelativities. The comparisons do, however, highlight significantinconsistencies between different innovation indicators and suggest policypriorities. (Publication abstract)