Working Paper #2009-050
Innovation Policy, Entrepreneurship, and Development: A Finnish View
This article first reviews the economic rationales for innovation
policy. It then describes the Finnish innovation policy and policy
making environment. The Finnish policy is evaluated from the point of
view of fostering entrepreneurship. R&D subsidies, the main tool of
Finnish innovation policy, may not be a very effective way of fostering
entrepreneurship, compared to R&D tax credits of the type used in the
Netherlands and Norway. The main reason for this is that the latter
provide support in a more transparent way. The article ends with a
discussion of what lessons the Finnish innovation policy offers to
developing countries.
- Keywords
-
- innovation policy
- R&D subsidies
- R&D tax credit
- developing countries
- interim efficiency
- market failure
- JEL codes
-
- L53
- O25
- O28
- UNU-MERIT
- Working
- Papers
- ISSN
- 1871-9872
Cite this as
APA 7th ed.Toivanen, O. (2009). Innovation Policy, Entrepreneurship, and Development: A Finnish View (UNU-MERIT Working Paper No. 2009-050). UNU-MERIT. https://unu-merit.nl/publications/working-papers/abstract/?id=3850