recent years. This paper explores whether and to what extent we can consider lack of innovation and technology adoption as a … main reason for this disappointing experience. The paper starts by documenting that technology adoption and innovation are …

There is a common perception that low productivity or low growth is due to what can be called an `innovation shortfall …,` usually identified as a low rate of investment in research and development (RD) compared with some high-innovation countries … problems that impede accumulation of all kinds of capital. When does a country suffer from an innovation shortfall above and …

foster cooperation in sectors where the economy already shows comparative advantage. In regard to innovation, general … policies that aim to increase innovation across the board are likely to be inferior to policies that take a more selective … approach by trying to induce the development of innovation clusters in areas of comparative advantage. The paper concludes with …