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Intelligent Demand: Policy Rationale, Design and Potential Benefits

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Abstract

Policy interest in demand-side initiatives has grown in recent years. This may reflect an expectation that demand-side policy could be particularly effective in steering innovation to meet societal needs. In addition, owing to constrained public finances in most OECD countries, the possibility that demand-side policies might be less expensive than direct support measures is attractive. Interest may also reflect some degree of disappointment with the outcomes of traditional supply-side measures. This paper reviews demand-side innovation policies, their rationales and importance across countries, different approaches to their design, the challenges entailed in their implementation and evaluation, and good practices. Three main forms of demand-side policy are considered: innovation-oriented public procurement, innovation-oriented regulations, and standards. Emphasis is placed on innovation-oriented public procurement.

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  • Oecd, 2014. "Intelligent Demand: Policy Rationale, Design and Potential Benefits," OECD Science, Technology and Industry Policy Papers 13, OECD Publishing.
    • Handle: RePEc:oec:stiaac:13-en
    DOI: 10.1787/5jz8p4rk3944-en
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    Cited by:

    1. Falilou Fall & Christine Lewis, 2017. "Fostering Productivity for Income Convergence in the Czech Republic," OECD Economics Department Working Papers 1362, OECD Publishing.
    2. Miller, Fiona A. & French, Martin, 2016. "Organizing the entrepreneurial hospital: Hybridizing the logics of healthcare and innovation," Research Policy, Elsevier, vol. 45(8), pages 1534-1544.
    3. Elisabetta Iossa & Federico Biagi & Paola Valbonesi, 2018. "Pre-commercial procurement, procurement of innovative solutions and innovation partnerships in the EU: rationale and strategy," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 27(8), pages 730-749, November.

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