IDEAS home Printed from https://ideas.repec.org/a/ahs/journl/v5y2020i3p682-705.html
   My bibliography  Save this article

Innovation in The European Union Within The Framework of The Theory of Creative Destruction: An Overview After The Global Financial Crisis 2008

Author

Listed:
  • Altuğ Günar
  • Seyhun Doğan

Abstract

Innovations are vital for economic development. Schumpeter, the famous economic theorist who drew attention to the innovation activities, was the first to reveal that capitalism has a structure that realizes development through innovations. Along with the 2000s, the European Union adopted a Schumpeterian approach and launched the Lisbon Strategy, however, this strategy has not been successful for various reasons. In this context, the Schumpeterian theory of “creative destruction” is well suited for evaluating innovation activities in the European Union. The main purpose of the study is to analyze the innovation activities in the European Union through research and development expenditures, business research and development expenditures, and the numbers of patent applications in the context of the theory of “creative destruction” put forward by Schumpeter. In this context, it was tried to reveal the Schumpeterian innovation capacity of the European Union between 2008 and 2018 in line with the data obtained from Eurostat. As a result of the study, it was concluded that innovation activities in the European Union could not fully realize the creative destruction effect and that there is a serious texture incompatibility in terms of economic structures within the EU member countries.

Suggested Citation

  • Altuğ Günar & Seyhun Doğan, 2020. "Innovation in The European Union Within The Framework of The Theory of Creative Destruction: An Overview After The Global Financial Crisis 2008," Journal of Research in Economics, Politics & Finance, Ersan ERSOY, vol. 5(3), pages 682-705.
    • Handle: RePEc:ahs:journl:v:5:y:2020:i:3:p:682-705
    DOI: 10.30784/epfad.822774
    as

    Download full text from publisher

    File URL: https://dergipark.org.tr/tr/download/article-file/1385458
    Download Restriction: no
    File URL: https://libkey.io/10.30784/epfad.822774?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Segerstrom, Paul S & Anant, T C A & Dinopoulos, Elias, 1990. "A Schumpeterian Model of the Product Life Cycle," American Economic Review, American Economic Association, vol. 80(5), pages 1077-1091, December.
    2. Temin, Peter, 2002. "The Golden Age of European growth reconsidered," European Review of Economic History, Cambridge University Press, vol. 6(1), pages 3-22, April.
    3. Schumpeter, Joseph A., 1947. "The Creative Response in Economic History," The Journal of Economic History, Cambridge University Press, vol. 7(2), pages 149-159, November.
    4. Erik S. Reinert, 2013. "Primitivization of the EU Periphery: The Loss of Relevant Knowledge," The Other Canon Foundation and Tallinn University of Technology Working Papers in Technology Governance and Economic Dynamics 48, TUT Ragnar Nurkse Department of Innovation and Governance.
    5. Poh Wong & Yuen Ho & Erkko Autio, 2005. "Entrepreneurship, Innovation and Economic Growth: Evidence from GEM data," Small Business Economics, Springer, vol. 24(3), pages 335-350, January.
    6. Erik S. Reinert, 2006. "European Integration, Innovations and Uneven Economic Growth: Challenges and Problems of EU 2005," The Other Canon Foundation and Tallinn University of Technology Working Papers in Technology Governance and Economic Dynamics 05, TUT Ragnar Nurkse Department of Innovation and Governance.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Altuğ Günar & Seyhun Doğan, 2021. "Innovation in The European Union Within The Framework of The Theory of Creative Destruction: An Overview After The Global Financial Crisis 2008," Journal of Research in Economics, Politics & Finance, Ersan ERSOY, vol. 5(3), pages 682-705.
    2. Teheni El Ghak & Awatef Gdairia & Boutheina Abassi, 2021. "High-tech Entrepreneurship and Total Factor Productivity: the Case of Innovation-Driven Economies," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 12(3), pages 1152-1186, September.
    3. Zoltan J. Acs & Bo Carlsson & Pontus Braunerhjelm & David B. Audretsch, "undated". "The Missing Link," Papers on Entrepreneurship, Growth and Public Policy 2005-08, Max Planck Institute of Economics, Entrepreneurship, Growth and Public Policy Group.
    4. Hugo Erken & Piet Donselaar & Roy Thurik, 2018. "Total factor productivity and the role of entrepreneurship," The Journal of Technology Transfer, Springer, vol. 43(6), pages 1493-1521, December.
    5. Camilla Jensen & Itzhak Goldberg, 2014. "Demand-driven innovation policies in the EU," CASE Network Studies and Analyses 0467, CASE-Center for Social and Economic Research.
    6. Beniamino Callegari, 2018. "The finance/innovation nexus in Schumpeterian analysis: theory and application to the case of U.S. trustified capitalism," Journal of Evolutionary Economics, Springer, vol. 28(5), pages 1175-1198, December.
    7. Juan-Pierré BRUWER & André VAN DEN BERG, 2017. "The conduciveness of the South African economic environment and Small, Medium and Micro Enterprise sustainability: A literature review," Expert Journal of Business and Management, Sprint Investify, vol. 5(1), pages 1-12.
    8. Pontus Braunerhjelm & Zoltán J. Ács & David B. Audretsch & Bo Carlsson, 2015. "The missing link: knowledge diffusion and entrepreneurship in endogenous growth," Chapters, in: Global Entrepreneurship, Institutions and Incentives, chapter 6, pages 108-128, Edward Elgar Publishing.
    9. Esteban Lafuente & Zoltan J. Acs & Mark Sanders & László Szerb, 2020. "The global technology frontier: productivity growth and the relevance of Kirznerian and Schumpeterian entrepreneurship," Small Business Economics, Springer, vol. 55(1), pages 153-178, June.
    10. Chen, Hung-Ju, 2019. "Innovation and FDI: Does the Target of Intellectual Property Rights Matter?," MPRA Paper 94692, University Library of Munich, Germany.
    11. Chu, Angus C. & Cozzi, Guido & Furukawa, Yuichi, 2016. "Unions, innovation and cross-country wage inequality," Journal of Economic Dynamics and Control, Elsevier, vol. 64(C), pages 104-118.
    12. Vinko Muštra & Blanka Šimundić & Zvonimir Kuliš, 2020. "Does innovation matter for regional labour resilience? The case of EU regions," Regional Science Policy & Practice, Wiley Blackwell, vol. 12(5), pages 955-970, October.
    13. Joan R Rosés & Nikolaus Wolf, 2021. "Regional growth and inequality in the long-run: Europe, 1900–2015," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 37(1), pages 17-48.
    14. Gilberto Tadeu Lima, 2000. "Market concentration and technological innovation in a dynamic model of growth and distribution," BNL Quarterly Review, Banca Nazionale del Lavoro, vol. 53(215), pages 447-475.
    15. Michael Adusei, 2016. "Does Entrepreneurship Promote Economic Growth in Africa?," African Development Review, African Development Bank, vol. 28(2), pages 201-214, June.
    16. Saini, Seema & Ahmad, Wasim, 2024. "Credit creation, credit destruction and credit reallocation: Firm-level evidence from India," Journal of Asian Economics, Elsevier, vol. 92(C).
    17. Baland, Jean-Marie & Francois, Patrick, 1996. "Innovation, monopolies and the poverty trap," Journal of Development Economics, Elsevier, vol. 49(1), pages 151-178, April.
    18. Chol-Won Li, 2003. "Endogenous Growth Without Scale Effects: Comment," American Economic Review, American Economic Association, vol. 93(3), pages 1009-1017, June.
    19. Andrés Langebaek R. & Diego Vásquez E., 2007. "Determinantes de la actividad innovadora en la industria manufacturera colombiana," Borradores de Economia 433, Banco de la Republica de Colombia.
    20. Colin Wessendorf & Alexander Kopka & Dirk Fornahl, 2021. "The impact of the six European Key Enabling Technologies (KETs) on regional knowledge creation," Papers in Evolutionary Economic Geography (PEEG) 2127, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Sep 2021.

    More about this item

    Keywords

    Schumpeter; Creative Destruction; Innovation; Entrepreneurship; European Union;
    All these keywords.

    JEL classification:

    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ahs:journl:v:5:y:2020:i:3:p:682-705. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ersan Ersoy (email available below). General contact details of provider: https://epfjournal.com/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.