Innovation Union Scoreboard (IUS) Index assesses 27 European countries on how do they perform in innovation sphere and its subdivisions. By monitoring innovation progress across the EU27 member countries, as well as Iceland, Croatia, Norway, Serbia, Switzerland, Turkey and the Former Yugoslav Republic of Macedonia IUS attempts to build strong base to policy discussions and decisions at EU and national level. Measurement framework of IUS embraces in total 25 indicators serving as proxies for 8 innovation dimensions grouped into 3 pillars. Enablers pillar captures the main factors of innovation performance which are external to the company and cover three innovation dimensions: Human resources, Open, excellent and attractive research systems as well as Finance and support. Firm activities pillar captures the firm-level innovation efforts, grouped into the following innovation dimensions: Firm investments, Linkages & entrepreneurship and Intellectual assets. Outputs pillar covers the results of firms’ innovation efforts in two innovation dimensions: Innovators and Economic effects.
The overall ranking within the EU remained relatively stable, with Switzerland at the top, followed by Sweden, Denmark, Finland and Germany. Over the period 2001-2015, long-term innovation performance has had a clear upward trend for the EU as a whole, with highest positive growth for Latvia, Malta and Bulgaria and the most negative growth for Romania.
EU innovation performance has been increasing at an average annual rate of 0.6% between 2001 and 2015, but growth has not been equally strong across all dimensions and subdimensions. The largest growth is observed in Human resources (2.6%) and Research systems (1.7%). Growth in Intellectual assets and Innovators has been modest (1% and 0.5%, respectively). innovation performance in Finance and support demonstrates negative growth rate (-1.6%), caused by sharp decline in Venture capital investments (-5.7%). Moreover, negative growth occurs in Firm investments (-0.2%) and Linkages (-0.4%).
The Innovation Union Scoreboard places Member States into the four country groups: Innovation leaders, Innovation followers, Moderate innovators and Modest innovators. The Innovation Leaders have balanced innovation systems with strengths in all dimensions, chased by the Innovations followers, the Moderate Innovators and the Modest Innovators. Performance differences, however, can be insignificant between the different performance groups, in particular for Human resources, Research systems, Innovators, and Economic effects between the Innovation Leaders and Innovations followers, for Firm investments between the Innovations followers and Moderate Innovators, and for Human resources and Intellectual assets between the Moderate and Modest innovators.
IUS is one of the tools aimed at measuring of knowledge resources (or intellectual capital), which gain importance in the today's economy, across different countries. The other popular indices include Global Competitiveness Index, Knowledge Economy Index, Global Innovation Index.
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The USA has the highest research and development expenditures in the world. In 2008 it was almost $400 billions or 2.8% of GDP. The gap between the U.S. and other countries is essential. The rest from the top five (Japan, China, Germany and France) only taken together spend as much as the U.S. The model of R&D expenditures differs from country to country. For example, expenditures on basic research account for 17% in total R&D expenditures in the U.S. compared to only 5% in China. Click on the country name in the table to explore the structure of R&D expenditures of certain country.
Growing world population, global food demand and the lack of extensive factors of production push food and agriculture producers to find a new ways to increase output. According to USDA, private agriculture research and development (R&D) expenditures, increased from $6.9 billions in 2000 to $11 billions in 2010. R&D expenditures for crop seed & biotechnology, crop protection chemicals and farm machinery account for about 85% of total private R&D expenditures in the world. Try Agriculture 101 Quiz to check your knowlege of agriculture industry.