OECD Science, Technology and Industry Scoreboard 2013 INNOVATION FOR GROWTH Science, technology, innovation and entrepreneurship – which foster competitiveness, productivity, and job OECD Science, Technology creation – are important mechanisms for encouraging sustainable growth. Over 250 indicators in the OECD Science, Technology and Industry (STI) Scoreboard show how OECD and major non-OECD economies are performing in a wide range of areas to help governments design more effective and effi cient policies and and Industry Scoreboard 2013 monitor progress towards their desired goals. The charts and underlying data in the STI Scoreboard 2013 are available for download and for the fi rst time, INNOVATION FOR GROWTH selected indicators contain additional data expanding the time and country coverage of the print edition. Contents (cid:127) Knowledge economies: Trends and features O E (cid:127) Building knowledge C D (cid:127) Connecting to knowledge S c ie (cid:127) Targeting new growth areas n c e (cid:127) Unleashing innovation in fi rms , T e (cid:127) Competing in the knowledge economy c h n (cid:127) Participating in the global economy o lo g y For more information about the OECD STI Scoreboard, see www.oecd.org/sti/scoreboard.htm a n d In d u s t r y S c o r e b o a r d 2 0 1 3 IN N O V A T IO N F O R G R O Consult this publication on line at http://dx.doi.org/10.1787/sti_scoreboard-2013-en. W T H This work is published on the OECD iLibrary, which gathers all OECD books, periodicals and statistical databases. Visit www.oecd-ilibrary.org for more information. Flash to read and share! ISBN 978-92-64-20073-9 9HSTCQE*caahdj+ 92 2013 05 1 P OECD Science, Technology and Industry Scoreboard 2013 This work is published on the responsibility of the Secretary-General of the OECD.The opinionsexpressedandargumentsemployedhereindonotnecessarilyreflecttheofficial viewsoftheOrganisationorofthegovernmentsofitsmembercountries. This document and any map included herein are without prejudice to the status of or sovereigntyoveranyterritory,tothedelimitationofinternationalfrontiersandboundaries andtothenameofanyterritory,cityorarea. Pleasecitethispublicationas: OECD(2013),OECDScience,TechnologyandIndustryScoreboard2013,OECDPublishing. http://dx.doi.org/10.1787/sti_scoreboard-2013-en ISBN978-92-64-20073-9(print) ISBN978-92-64-20500-0(PDF) ISBN978-92-64-203181(HTML) Biennial: ISSN1562-983X(print) ISSN2072-5345(online) 1.NotebyTurkey: Theinformationinthisdocumentwithreferenceto“Cyprus”relatestothesouthernpartoftheIsland.Thereisno singleauthorityrepresentingbothTurkishandGreekCypriotpeopleontheIsland.TurkeyrecognisestheTurkish RepublicofNorthernCyprus(TRNC).UntilalastingandequitablesolutionisfoundwithinthecontextoftheUnited Nations,Turkeyshallpreserveitspositionconcerningthe“Cyprusissue”. 2.NotebyalltheEuropeanUnionMemberStatesoftheOECDandtheEuropeanUnion: TheRepublicofCyprusisrecognisedbyallmembersoftheUnitedNationswiththeexceptionofTurkey.The informationinthisdocumentrelatestotheareaundertheeffectivecontroloftheGovernmentoftheRepublicof Cyprus. 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CorrigendatoOECDpublicationsmaybefoundonlineat:www.oecd.org/publishing/corrigenda. ©OECD2013 Youcancopy,downloadorprintOECDcontentforyourownuse,andyoucanincludeexcerptsfromOECDpublications,databasesand multimediaproductsinyourowndocuments,presentations,blogs,websitesandteachingmaterials,providedthatsuitable acknowledgmentofthesourceandcopyrightownerisgiven.Allrequestsforpublicorcommercialuseandtranslationrightsshouldbe submittedtorights@oecd.org.Requestsforpermissiontophotocopyportionsofthismaterialforpublicorcommercialuseshallbe addresseddirectlytotheCopyrightClearanceCenter(CCC)[email protected]çaisd'exploitationdudroitdecopie (CFC)[email protected]. FOREWORD Foreword T he OECD Science, Technology and Industry Scoreboard 2013 draws on the latest internationallycomparabledatatouncoverthestrengthsofOECDandotherleadingeconomiesand explorethecontinuingchallengestoovercometheeffectsoftherecentfinancialandeconomiccrises. It features indicators traditionally used to monitor developments in science, technology, innovation and industry, and complements them with new and experimental indicators that provide new insightsintoareasofpolicyinterest. The STI Scoreboard is not about “ranking” countries or developing composite indicators. It is aboutgivingpolicymakersandanalyststhemeansofcomparingeconomieswithothersofasimilar size or with a similar structure and monitor progress towards desired national or supranational policy goals. It draws on the OECD’s efforts to build the data infrastructure needed to link actors, outcomes and impacts; it highlights the potential and the limits of certain metrics and points to directionsforfurtherwork. Indicatorsarepointers.Theydonotaddresscausalrelations.Moreover,thevalidityofasetof indicatorsdependsonitsuse.Theselectedindicatorshavebeendevelopedwiththefollowingcriteria inmind: ● Indicators should be based on high-quality statistics and robust analytical principles and be measurableinternationally,overtimeandwithprospectsofimprovement. ● Indicatorsshouldberelevant,particularlyfordecisionmakers. ● Experimental indicators that complement more established ones bring new perspectives and advancethemeasurementagenda.Theyhelptostimulatecontinuingandnewpolicydebatesand uncovernewdynamics. Thefirstchapter,Knowledgeeconomies:trendsandfeatures,providesabroadperspective. It looks at innovation, firm dynamics, productivity and jobs against the backdrop of the economic crisis. It explores the new geography of growth through the lenses of global value chains, the changinglandscapeofinnovation,thefeaturesofsciencetodayandthecharacteristicsofinnovation beyondformalresearchanddevelopment. Sixthematicchaptersfocusonareasofkeypolicyinterest: ● Buildingknowledgelooksattheknowledgeassetsthatmanyfirmsandgovernmentsviewas their current and future sources of long-term sustainable growth. It focuses on indicators of knowledge-based capital and on the jobs and employment related to it, scientific skills and education,andinvestmentinresearch.Italsopresentsexperimentalindicatorsofpublicfunding andnewestimatesofR&Dtaxincentives. ● Connecting to knowledgehelpsinformthepolicydebatewithasetofmetricsonthevariety and nature of mechanisms for knowledge exchange. Among the indicators presented are the impactofscientificcollaboration(basedonpatentcitations)andscience-industrylinkages(based on citations of non-patent literature in patent documents).Also included are new indicators on OECDSCIENCE,TECHNOLOGYANDINDUSTRYSCOREBOARD2013©OECD2013 3 FOREWORD researchermobilitythattrackthecareersofscientistswhopublishinscholarlyjournalsandonthe extentoffirms’collaborationininnovationprocesses. ● Targeting new growth areas examines the direction of countries’ scientific efforts and the technologies on which they build their comparative advantage. It presents R&D and innovation indicatorsinbiotechnologyandnanotechnologyandinhealth,environmentalandinformationand communication technologies, and looks at developments in smart ICT infrastructure. It also reveals how the development of technologies accelerates over time and how innovations emerge fromthecombinationofdifferenttechnologies. ● Unleashing innovation in firms is concerned with the dynamism of the business sector and shows the strong contribution of young firms to job creation using new microdata-based indicators.Itlooksatthemainwaysinwhichfirmsinnovateandproposesanovelindicatoronthe intellectual property bundle to point to firms’ joint use of patents, trademarks and industrial designstoprotecttheirinnovations.Newdataonregistereddesignsprovideinformationonhow countriesprotectcreativity.Otherindicatorsaddresstheextenttowhichgovernmentscreatethe conditionsforyounginnovativefirmstogrowandthebroaderpolicyenvironmentforinnovation. ● Competingintheknowledgeeconomylooksathowcountriesseektobuildtheircompetitive strengths and uses a wide range of more sophisticated indicators than those that are generally available.Itconsidersindustrialspecialisationanddiversification,R&Dandtradespecialisation, technologicaladvantagesandrelativestrengths,aswellasthecharacteristicsofinnovativefirms andtheiruseofnewtechnologiesinbusinessprocesses. ● Participating in the global economydraws out theimplications of structural characteristics foreconomies’participationinglobalvaluechains.Indicatorsrelatedtofirms’size,survivaland growthandtoforeignaffiliatesaccompanyemploymentpatternsinkeyindustriesandlinkages betweenmanufacturingandservices.NovelindicatorsbuildingontheOECD-WTOTradeinValue AddedDatabaseshednewlightoneconomies’participationinglobaltradeandvaluechainsand theimplicationsofthisparticipationforjobs. ThemainaudienceoftheSTIScoreboardispolicyanalystswithagoodunderstandingoftheuse ofindicatorsandallthoseengagedinproducingindicatorsforanalyticalorpolicy-makingpurposes. Afewparagraphsintroduceeachindicatorandoffersomeinterpretation.Theyareaccompaniedby aboxcalled“Definitions”forthoselessfamiliarwiththemethodsused.Aboxtitled“Measurability” summarisesmeasurementchallenges,gapsandrecentinitiatives. AllchartsandunderlyingdatacanbedownloadedviatheStatlinks(hyperlinktoawebpage). For the first time, additional data that expand the coverage of countries and time periods are available in the Statlinks. New tools to visualise indicators and help users develop thematic and countryprofilesbasedontheirowninterestswillbeavailableontheSTIScoreboardwebsite. 4 OECDSCIENCE,TECHNOLOGYANDINDUSTRYSCOREBOARD2013©OECD2013 ACKNOWLEDGMENTS Acknowledgments T his volume is the result of a collective effort by the EconomicAnalysis and Statistics Division(EAS)oftheOECDDirectorateforScience,TechnologyandIndustry(DSTI),under theguidanceofAlessandraColecchia.LeadauthorswereAlessandraColecchia,Andreade Panizza, Fernando Galindo-Rueda,Vladimir Lopez-Bassols, Mariagrazia Squicciarini and ColinWebbwithcontributionsfromSilviaAppelt,LaudelineAuriol,BrigittevanBeuzekom, Catherine Bignon, Brunella Boselli, Agnès Cimper, Hélène Dernis, Chrystyna Harpluk, Pedro Herrera-Gimenez, Elif Köksal-Oudot, Guillaume Kpodar, Marie Le Mouel,Valentine Millot,PierreMontagnier,AsakoOkamura,FabienVerger,BoWerthandNorihikoYamano. ThecontributionsofMariJibu(JapanScienceandTechnologyAgency)andRobertode Pinho(MinistryofScience,TechnologyandInnovation,Brazil)asvisitingexpertsatEAS,on the analysis of scientist mobility and science-technology links, respectively, are greatly appreciated.Theanalysisofscienceandtechnologylinksreliesonanalgorithmdeveloped byThomson Reuters and Japan’s Science andTechnology Agency matching patent and scientificpublicationdatabases. Brigitte van Beuzekom and Elif Köksal-Oudot coordinated the production process of thispublication.AndrewWyckoffandDirkPilatprovidedoverallguidanceandcomments. Others in DSTI and elsewhere in the OECD made available their respective areas of expertise:NadimAhmad,FrédéricBourassa,ChiaraCriscuolo,KoendeBacker,RudolfVan Der Berg, Isabelle Desnoyers-James, Agustín Díaz-Pinés, Peter Gal, Corinne Heckmann, Joseph Loux, Mariarosa Lunati, Carlo Menon, Laurent Moussiegt, Filipe Silva and Karen Wilson. The SCImago Research Group (CSIC, Spain), www.scimago.es, led by Félix de Moya- Anegón with contributions from Carmen López-Illescas, Zaida Chinchilla-Rodríguez and Elena Corera-Álvarez, collaborated with the OECD in designing and preparing new indicatorsofscientificproduction,collaborationandimpactusingElsevier’sScopusdata. EASmatched16.2millionpatentsintheEPO’sWorldwidePatentStatisticalDatabase (PATSTAT)and2.2millionOHIMandUSPTOtrademarksagainst1.2millioncompaniesin BureauvanDijk’sORBIS©databasethankstotheefficientmatchingsoftwaredevelopedfor theOECDbyIDENER,Seville,www.idener.es/nosotros_en.html). Severalindicatorsarebasedonspecialdatarequeststonationalstatisticalofficesor ministries. The time and help granted by the OECD National Experts for Science and TechnologyIndicators(NESTI),theircolleaguesandorganisationshavebeeninstrumental tothispublication. PreliminaryresultsfromtheDYNEMPprojectonfirm-leveldynamics,undertheaegis oftheOECDWorkingPartyonIndustryAnalysis(WPIA),havekindlybeenmadeavailable byteamsin15countries:WernerHölzl(Austria–WIFO);HildeSpinnewyn,ChantalKegels, Michel Dumont (Belgium – Federal Planning Bureau); Gabriel Lopes de Ulyssea, Carlos OECDSCIENCE,TECHNOLOGYANDINDUSTRYSCOREBOARD2013©OECD2013 5 ACKNOWLEDGMENTS HenriqueLeiteCorseuil,FernandadeNegri(Brazil–IPEA);MikaMaliranta(Finland–ETLA and Statistics Finland); Lionel Nesta, Flora Bellone (France – GREDEG, CNSR and OFCE, Sciences Po); Adrienn Szep Szollosine, Erzsebet Eperjesi Lindnerne, Gabor Katay, Peter Harasztosi(Hungary–CentralBankofHungaryandCentralStatisticalOfficeofHungary); Stefano Costa (Italy – ISTAT); Kyoji Fukao, Kenta Ikeuchi (Japan – Hitotsubashi University andNationalInstituteofScienceandTechnologyPolicy);LeilaBen-Aoun,AnneDubrocard, Michel Prombo (Luxembourg – STATEC); Michael Polder (Netherlands – CBS); Lynda Sanderson, Richard Fabling, Gerald Minnee, Hamish Hill (New Zealand – New Zealand Treasury, Statistics New Zealand, Motu Economic and Public Policy Research); Arvid Raknerud (Norway – Statistics Norway);Valentin Llorente Garcia, Luis Esteban Barbado Miguel,JoseManuelAlmendrosUlibarri,JavierAgustinMunozCarabias(Spain–Ministryof Industry, Energy and Tourism and Spanish Statistical Office); Eva Hagsten, Jan Selen, MonicaNelsonedberg(Sweden–StatisticsSweden);JavierMiranda(CensusBureauofthe UnitedStates). 6 OECDSCIENCE,TECHNOLOGYANDINDUSTRYSCOREBOARD2013©OECD2013 TABLEOFCONTENTS Table of contents Acknowledgments.......................................................... 5 Reader’sGuide ............................................................. 10 Executivesummary......................................................... 13 1.Knowledgeeconomies:Trendsandfeatures ................................. 17 Sourcesofgrowthandthecrisis .......................................... 18 Thenewgeographyofgrowth ............................................ 40 Thechanginglandscapeofinnovation..................................... 50 Scienceandinnovationtoday............................................. 57 Notes.................................................................. 70 References ............................................................. 81 2.Buildingknowledge ...................................................... 85 1. Investmentinknowledge............................................. 86 2. Humanresourcesandknowledge-basedcapital ......................... 88 3. Learningforinnovation .............................................. 90 4. Skillsforinnovation.................................................. 92 5. Newdoctorates ..................................................... 94 6. Doctorateholders.................................................... 96 7. Researchers......................................................... 98 8. R&D ............................................................... 100 9. Highereducationandbasicresearch ................................... 102 10. BusinessR&D ....................................................... 104 11. R&Dtaxincentives................................................... 106 12. InternationalfundingofR&D ......................................... 108 Notes.................................................................. 110 References ............................................................. 118 3.Connectingtoknowledge ................................................. 121 1. R&Dandknowledgeflows ............................................ 122 2. Openinnovation..................................................... 124 3. Collaborationoninnovation........................................... 126 4. Internationalcollaboration ........................................... 128 5. Skillsmobility ...................................................... 130 6. Researchersonthemove ............................................. 132 7. Researchexcellence ................................................. 134 8. Scienceforinnovation................................................ 136 9. Fromknowledgetoinventions......................................... 138 OECDSCIENCE,TECHNOLOGYANDINDUSTRYSCOREBOARD2013©OECD2013 7 TABLEOFCONTENTS 10. Inventionsacrossborders ............................................ 140 11. Technologyflowsandmarkets ........................................ 142 Notes.................................................................. 144 References ............................................................. 149 4.Targetingnewgrowthareas ............................................... 151 1. R&Dfundingandspecialisation ....................................... 152 2. Greeninnovation.................................................... 154 3. Healthinnovation ................................................... 156 4. BiotechnologyR&D .................................................. 158 5. NanotechnologyR&D ................................................ 160 6. ICTinnovation ...................................................... 162 7. Broadbandpriceandquality .......................................... 164 8. Fixedandwirelessbroadband......................................... 166 9. Internetusers....................................................... 168 10. Emergingtechnologies ............................................... 170 Notes.................................................................. 172 References ............................................................. 177 5.Unleashinginnovationinfirms ............................................ 179 1. Mixedmodesofinnovation ........................................... 180 2. Broaderinnovation .................................................. 182 3. Publicsupporttoinnovation .......................................... 184 4. TheIP“bundle”...................................................... 186 5. Trademarks......................................................... 188 6. Knowledge-asset-relatedtrademarks................................... 190 7. Registereddesigns .................................................. 192 8. Trademarksandpatents ............................................. 194 9. Entry,exitandsurvival............................................... 196 10. Firmemploymentdynamics .......................................... 198 11. Accesstocapital..................................................... 200 12. Policyenvironment .................................................. 202 Notes.................................................................. 204 References ............................................................. 211 6.Competingintheknowledgeeconomy...................................... 213 1. Industryspecialisation ............................................... 214 2. ICTindustryspecialisation............................................ 216 3. Exportstructures.................................................... 218 4. R&Dspecialisation................................................... 220 5. Technologicaladvantage ............................................. 222 6. Tradecompetitiveness ............................................... 224 7. E-businessuptake ................................................... 226 8. Younginnovativefirms............................................... 228 9. Technologicalstrengths .............................................. 230 Notes.................................................................. 232 References ............................................................. 237 8 OECDSCIENCE,TECHNOLOGYANDINDUSTRYSCOREBOARD2013©OECD2013