Unlike in the past where industrial policy was either focused on creation and growth of state-owned firms or alternatively consisted merely of broadly functional policies without consideration for firm or entrepreneurial specifics, the requirement now is that future industrial policy ought to be...

This article first reviews the economic rationales for innovation policy. It then describes the Finnish innovation policy and policy making environment. The Finnish policy is evaluated from the point of view of fostering entrepreneurship. R&D subsidies, the main tool of Finnish innovation...

Since 1950, there has been considerable diversity in developing country experiences. Some countries and some regions have experienced rapid growth and catch up, others have fallen behind. At a global level there is an increasing inequality of per capita incomes. However, within the framework of...

This paper provides new estimates of capital inputs in the Chinese economy. Estimates are made for the total economy (1953-2003), for the industrial sector (1978-2003) and for the manufacturing sector (1985-2003). The estimates for industry and manufacturing are broken down by thirty regions....

How much does public capital matter for economic growth? How large should it be? This paper attempts to answer these questions, taking the case of SSA countries. It develops and estimates a model that posits a nonlinear relationship between public investment and growth, to determine the...

In this paper we aim to measure and decompose the growth of frontier total factor productivity (TFP) in Tunisia over the period 1983-2001. We define frontier TFP growth as the shift of the economy's production frontier, which we obtain by solving for each year a linear program, a sort of...

In this paper we show the benefits of regional connectivity and specialization to growth. Starting with one region we show how welfare measured by utility per head increases as the number of connected regions increase. We assume a common connectivity infrastructure implemented by satellite,...

This paper argues that actual technological spillovers are not substantial in developing countries because of the absence of an absorptive capacity. We carry out a panel data analysis in an attempt to gain insight into the specific aspects that enable economies to benefit from the backlog of...

The science-technology-innovation system is one that is continuously and rapidly evolving. The dramatic growth over the last twenty years in the use of science, technology and innovation (STI) indicators appears first and foremost the result of a combination between on the one hand the easiness...

This paper investigates FDI-related spillovers in Brazil for the period 1996-2005. In contrast to most previous recent studies, which have failed to identify any significant effects in emerging economies, we found that horizontal spillovers did arise in Brazil. However, they did not arise simply...