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Rationales and Instruments for Public Innovation Policies

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  • Takalo, Tuomas

Abstract

Economic interest in innovation policy largely arises from the fundamental importance of innovation to social welfare and from well-known inefficiencies in innovation in a competitive market environment. As a result, a wide variety of public innovation policies are used in practice. This report reviews the economic justifications for public innovation policies and compares the existing policy tools, paying particular attention to the Finnish innovation policy environment.

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  • Takalo, Tuomas, 2009. "Rationales and Instruments for Public Innovation Policies," Discussion Papers 1185, The Research Institute of the Finnish Economy.
    • Handle: RePEc:rif:dpaper:1185
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    2. Hasan, Iftekhar & Martikainen, Emmi & Takalo, Tuomas, 2015. "Promoting efficient retail payments in Europe," Journal of Payments Strategy & Systems, Henry Stewart Publications, vol. 8(4), pages 395-406, January.
    3. Meng Wei Chen & Yu Chen & Zhen-Hua Wu & Ningru Zhao, 2018. "Government Intervention, Innovation, and Entrepreneurship," Graz Economics Papers 2018-15, University of Graz, Department of Economics.
    4. André Stel & Serhiy Lyalkov & Ana Millán & José María Millán, 2019. "The moderating role of IPR on the relationship between country-level R&D and individual-level entrepreneurial performance," The Journal of Technology Transfer, Springer, vol. 44(5), pages 1427-1450, October.
    5. Takalo, Tuomas & Tanayama, Tanja & Toivanen, Otto, 2013. "Market failures and the additionality effects of public support to private R&D: Theory and empirical implications," International Journal of Industrial Organization, Elsevier, vol. 31(5), pages 634-642.
    6. Ben R. Martin, 2015. "R&D Policy Instruments: A Critical Review of What We Do & Don't Know," Working Papers wp476, Centre for Business Research, University of Cambridge.
    7. Grimsby, Gjermund, 2018. "Partly risky, partly solid – Performance study of public innovation loans," Research Policy, Elsevier, vol. 47(7), pages 1344-1365.
    8. repec:zbw:rwirep:0485 is not listed on IDEAS
    9. Hasan, Iftekhar & Martikainen, Emmi & Takalo, Tuomas, 2014. "Promoting efficient retail payments in Europe," Research Discussion Papers 20/2014, Bank of Finland.
    10. Krieger, Bastian & Licht, Georg & Pellens, Maikel, 2018. "New perspectives in European innovation policy," ZEW policy briefs 7/2018, ZEW - Leibniz Centre for European Economic Research.
    11. Takalo, Tuomas & Tanayama, Tanja & Toivanen, Otto, 2013. "Market failures and the additionality effects of public support to private R&D: Theory and empirical implications," International Journal of Industrial Organization, Elsevier, vol. 31(5), pages 634-642.
    12. repec:zbw:bofrdp:2014_020 is not listed on IDEAS
    13. Bohnstedt, Anna, 2014. "Are Public and Private R&D Investments Complements or Substitutes?," Ruhr Economic Papers 485, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    14. Hongqi Wang & Tianyi Zhao & Sarah Y. Cooper & Shanshan Wang & Richard T. Harrison & Zhongji Yang, 2023. "Effective policy mixes in entrepreneurial ecosystems: a configurational analysis in China," Small Business Economics, Springer, vol. 60(4), pages 1509-1542, April.
    15. Anna Bohnstedt, 2014. "Are Public and Private R&D Investments Complements or Substitutes?," Ruhr Economic Papers 0485, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.

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    More about this item

    JEL classification:

    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • G28 - Financial Economics - - Financial Institutions and Services - - - Government Policy and Regulation
    • H25 - Public Economics - - Taxation, Subsidies, and Revenue - - - Business Taxes and Subsidies

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