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Research and development - a potential growth driver of the European economy (CROSBI ID 612387)

Prilog sa skupa u zborniku | izvorni znanstveni rad | međunarodna recenzija

Herceg , Tomislav, Dabić, Marina ; Vlajčić, Davor Research and development - a potential growth driver of the European economy // The 7th International Conference for Entrepreneurship, Innovation and Regional Development, ICEIRD 2014 / Papadopoulos, G.A. ; Kekitikidis, P.H. Kofteros, S.A. (ur.). Nikozija: IEIRD, 2014. str. 200-209

Podaci o odgovornosti

Herceg , Tomislav, Dabić, Marina ; Vlajčić, Davor

engleski

Research and development - a potential growth driver of the European economy

The main characteristics of the European economy in the recent years are declining or stagnating national incomes of the most of the European Union countries. Hence this paper investigates an impact of the well-known growth boosters on the European income: research and development, and foreign direct investment. A cross section model is tested, which has shown a significant relation between GDP per capita growth and the ratio of Research and Development and Foreign direct investment (FDI) in the GDP. The model is tested in the pre-crisis year of 2007, and the mid-crisis year of 2011. Furthermore, additional survey was made to show which of the Reasearch and development financiers was the most efficient: entrepreneurial sector, government sector or high education sector. The findings show that foreign direct investment and research and development should have a crucial role in the recovery of the European weak economy ; results show that a single percent increase in the share of the foreign direct investment and a research and development in gross domestic product would have caused a 3 and 2 digit increase of the GDP per capita in 2007 respectively. Secondly, it is shown that the significance and the impact of R&D and FDI in 2011 has changed, crowding out all the other factors making them insignificant compared to the R&D and FDI. Finally, the survey has shown that the entrepreneurial segment of the research and development has the most of the desired beneficial effects, while higher education and government sector R&D appear to be almost irrelevant for the GDP per capita growth. These fidnings suggest that policy makers should invest huge efforts to encourge foregin direct investemnt flows and corporte R&D invetments since it is the fastest and the most effective way to recovery of the Old continent.

European countries; FDI; GDP per capital; R&D; R&D investor

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Podaci o prilogu

200-209.

2014.

objavljeno

Podaci o matičnoj publikaciji

The 7th International Conference for Entrepreneurship, Innovation and Regional Development, ICEIRD 2014

Papadopoulos, G.A. ; Kekitikidis, P.H. Kofteros, S.A.

Nikozija: IEIRD

978-9963-7355-4-9

Podaci o skupu

The 7th International Conference for Entrepreneurship, Innovation and Regional Development, ICEIRD 2014

predavanje

05.06.2014-06.06.2014

Nikozija, Cipar

Povezanost rada

Ekonomija