Innovation procurement as capability-building: Evaluating innovation policies in eight Central and Eastern European countries

Nebojša Stojčić, Stjepan Srhoj, Alex Coad

Research output: Contribution to journalArticle

9 Citations (Scopus)

Abstract

After decades of impressive growth, the new member states of the European Union are once again in transition, but this time from imitation to innovation-driven competitiveness. This paper evaluates the relationship between both public funding and public procurement for innovation (PPI) and firm-level innovation output and outcome additionality, in eight Central and Eastern European countries. Matching estimates on a sample of 41,623 firms suggest that PPI has a large effect on innovation and output, and the highest additionality is sometimes achieved when firms receive both financial support and innovation-oriented public procurement. We argue that policy-makers aiming to strengthen indigenous innovation capabilities should place stronger emphasis on PPI.

Original languageEnglish
Article number103330
JournalEuropean Economic Review
Volume121
DOIs
Publication statusPublished - 2020 Jan
Externally publishedYes

Keywords

  • Additionality
  • Evaluation, Central and Eastern European countries
  • Public funding for innovation
  • Public procurement for innovation

ASJC Scopus subject areas

  • Finance
  • Economics and Econometrics

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