Abstract
Globalization has benefited the economies of member countries of the Organization for Economic Cooperation and Development (OECD) by helping their businesses stay profitable through cost-effective outsourcing of mostly garden-variety tasks and some knowledge-based activities. With time, the latter will account for the lion's share of work outsourced and emerging export houses will also tend to cater more to their own domestic markets because of their expanding infrastructure and growing manpower possessing advanced skills. This will result in a leveled playing field coaxing developed countries to adopt widespread innovations to maintain their high perch in the economic pecking order. Such large-scale creativity can be managed better if it could be gauged with an appropriate measure. This work propounds a new economic measure called the Gross Domestic Innovation (GDI) to quantify innovations in OECD countries. It will supplement universal measures such as the Gross Domestic Product (GDP), productivity and numbers concerning employment. Apart from the methodology for its estimation, the impact of GDI on the various facets of a vibrant economy is discussed and inter alia, the role of GDI in fighting inflation and alleviating the negative influences of globalization is stressed. Also, a tentative analysis on the economies of U.S., Japan, Germany and China is presented to illustrate the concept.
- {1} 'Emerging Economies Climbing Back,' The Economist (2006).Google Scholar
- {2} Freeman, R., 'What Really Ails Europe (and America): The Doubling of the Global Workforce,' theGlobalist (2005).Google Scholar
- {3} Web-site for International Monetary Fund (IMF). URL. http://www.imf.org (accessed in August 2006).Google Scholar
Index Terms
- Economic recognition of innovation
Recommendations
Innovation and Economic Growth in Developing Countries: Empirical Implication of Swamy's Random Coefficient Model (RCM)
AbstractThis study aims to investigate the impact of technology on economic growth in selected 25 developing countries using random coefficient model (RCM). We reduced five technology variables to R&D expenditure and number of R&D researchers using factor ...
Standards, innovation, and latecomer economic development
Little is known about the impact of standards on the economic development of countries which are latecomers to industrial manufacturing and innovation. Standardization is regarded primarily as a technical issue, and hence receives only limited high-...
Regional Economic Upgrading and Development Based on Digital and Intelligent Innovation
In the development process of the social era at that time, the concept of regional economic upgrading and development was in a very important position. Realizing the conversion of old and new kinetic energy to promote high-quality economic development is ...
Comments