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Social Capital, Innovation and Growth: Evidence from Europe

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  • Akcomak, Semih

    (UNU-MERIT)

  • ter Weel, Bas

    (UNU-MERIT)

Abstract

This paper investigates the interplay between social capital, innovation and economic growth in the European Union. We identify innovation as an important mechanism that transforms social capital into economic growth. In an empirical investigation of 102 European regions in the period 1990-2002, we show that higher innovation performance is conducive to economic growth and that social capital affects growth indirectly by fostering innovation. Our estimates suggest that there is only a limited role for a direct effect of social capital on economic growth.

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  • Akcomak, Semih & ter Weel, Bas, 2006. "Social Capital, Innovation and Growth: Evidence from Europe," MERIT Working Papers 2006-040, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    • Handle: RePEc:unm:unumer:2006040
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    More about this item

    Keywords

    Social capital; Innovation; Economic growth; European Union;
    All these keywords.

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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