Innovation policies for inclusive growth
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Transcript of Innovation policies for inclusive growth
Innovation Policies for Inclusive Growth
Overview of the project and 2015 report
Outline
• The Innovation for Inclusive Growth Project
• Overview of the 2015 Report “Innovation Policies for Inclusive Growth”
The Innovation for Inclusive Growth Project
The Innovation for Inclusive Growth Project:
Horizontal OECD Initiative – Committee for Scientific and Technological Policy as
lead committee – Involves the Territorial Development Policy Committee
and the Centre for Educational Research and Innovation – OECD Inclusive Growth Initiative Network – Experts and researchers, Inter-American Development
Bank, World Bank, Growth Dialogue, Global Research Alliance
Advisory Group : – Austria – Chile– China 4
– Colombia– Costa Rica– India
– Indonesia– Israel– Korea
– Mexico– South Africa
2012: Incubator phase • November: Conference on
Innovation and Inclusive Development, Cape Town, organised with the South African Department of Science and Technology
• Scoping document
2013-2014: Producing evidence • Policy framework and
background analyses• March 2014: Symposium on
Innovation and Inclusive Growth, Paris, organised with the Growth Dialogue
• Advisory Group meetings
2013: Project set-up and start of analyses • Creation of Advisory
Group and experts network• Scoping questionnaire• Newsletters• Project development
The Project Timeline (1/3)
May 2015: PublicationThe “Innovation Policies for Inclusive Growth” publication focuses on how innovation can serve inclusive development. It discusses a variety of inclusive innovations aimed at improving the welfare of excluded groups, notably in terms of essential public services and policy approaches to support inclusive innovation. It also looks at industrial and territorial inclusiveness. More information can be found at: http://oe.cd/inclusive-inno-report
February 2015: International Conference on Innovation for Inclusive Growth Organised jointly with the Confederation of Indian Industry (CII), the World Bank Group (WBG) and the United Nations University - Maastricht Economic and social Research and training centre on Innovation and Technology (UNU-MERIT) in New Delhi, India.
The Project Timeline (2/3)
October 2015: Ministerial Meeting of the OECD Committee for Scientific and Technological Policy (CSTP), KoreaThe project’s findings contributed in particular to policy discussions around the break out session on global inclusiveness.
2016: Deliverables• Final
publication• Policy toolkit • Policy experts
conference
February & March 2015: Advisory Group Meetings • Defining the project scope• Setting up priorities and timelines
28 September 2015: Report The report “Boosting Malaysia’s National Intellectual Property System for Innovation” assesses how the country’s national intellectual (IP) system supports innovation and offers recommendations to improve its design, looking in particular to enhancing opportunities for users.
April - December 2015: Producing evidence Analytical work including: • Framework and
econometric evidence on the innovation-income inequality relationship
• Policy toolkit with country policy cases on inclusiveness
The Project Timeline (3/3)
April 2016: Symposium on Technology, Innovation and Inclusive Growth: Future PerspectivesOrganised jointly with World Bank and the Growth Dialogue
Symposium on Technology, Innovation and Inclusive Growth: Future Perspectives
2-3 May 2016 – Paris
Key messages:
• Digital innovation fosters social mobility through processes of creative destruction, but they may also generate rents that can increase income inequality.
• New technologies may result in significant job displacement over the next decades. Policies need to manage the transition period.
• Despite “new” challenges arising from technological progress, the same “old” policy responses are offered. Are they still adequate?
Symposium on Technology, Innovation and Inclusive Growth: Future Perspectives (2)
Key messages:
• New technologies may significantly improve income, health and welfare. Productivity growth, however, is weak to date, which can only partly be explained by inappropriate measurement.
• Developing countries have opportunities to leapfrog to new technologies to catch-up more quickly to leading economies, but for this to happen they need to invest in infrastructure and human capital.
• The impacts of new technologies vary across countries; emerging economies are not experiencing job polarisation when confronted with ICT.
Overview of the 2015 Report “Innovation Policies for
Inclusive Growth”
Scaling Up Inclusive Innovations : Definition
Inclusive Growth : “economic growth that creates
opportunity for all segments of the population and distributes the
dividends of increased prosperity, both in monetary and non-monetary
terms, fairly across society”.
Scaling Up Inclusive Innovations : Definition
• Innovations that improve the welfare of lower-income and excluded groups – For consumption – In support of economic activities
Pro-inclusive innovations:
poor as end consumers
Grassroots innovations:
poor also innovators
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Scaling Up Inclusive Innovations :Examples
Mobile money
3D printing from waste
2000$ car
“Assembly line” cataract surgeries
Community phone shop
Off the grid electricity
Adapted curriculum
Scaling Up Inclusive Innovations : In OECD context
Crowdfunding
“Sharing economy”
Low cost
Scaling Up Inclusive Innovations
Globalization, emerging economies and ICT
Emerging economies’ middle
class
Number of Inclusive innovations
introduced by firms
Social inclusiveness
Reduced development costs of inclusive
innovations
Demand factors Supply factors
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Scaling Up Inclusive Innovations : Missing scale
Mobile money
“Assembly line” cataract surgeries
Community phone shop Adapted curriculum
Scaling Up Inclusive Innovations : Missing scale
Globalization, emerging economies and ICT
Emerging economies’ middle class
Number of Inclusive innovations introduced by
firms
Social inclusiveness
Reduced development costs of inclusive innovations
Missing scale
Demand factors Supply factors
Characteristics
Challenges
Missing scale
Scaling Up Inclusive Innovations : Characteristics & Challenges
Informality reduces access to public service
Uncertainty about uptake
Types and costs of innovations
Access to expertise, knowledgeand finance
Information about consumer needs
Market conditions for firms
Reduced opportunities for traditional financing for pro-inclusive & low financial inclusion for grassroots
Low access to expertise for grassroots
Regulation may constrain market entry
Baseline conditions require more adaptations
Scaling Up Inclusive Innovations : Rationale for policy intervention
Globalization, emerging economies and ICT
Emerging economies’ middle class
Number of Inclusive innovations introduced by
firmsPolicies in support of inclusive innovation
Social inclusiveness
Reduced development costs of inclusive innovations
Missing scale
Demand factors Supply factors
Characteristics
Challenges
Missing scale
Policies in Support of Inclusive Innovation: Actors
The poor Grassroot innovators
Consumers
Government Different ministries (innovation, health,
education, etc.) Regional government
NGOsPrivate sector
MNEs national companies
SMEs
Public research institutes and universities
Financial sectorBanks Impact
investors Aid and
development agencies
Microfinance
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Policies in Support of Inclusive Innovation
Informality constraints
Uncertain uptake
Types and costs of innovations
Access to expertise, knowledgeand finance
Information about consumer needs
Market conditions for firms
Low access to traditional loans
Lack of financial inclusion
Low access to knowledge networks
Regulatory constraintsGovernmental co-operation
Policy response
Missing infrastructure
Characteristics
Challenges
Co-operation across actors
Governmental Cooperation
The poor - Grassroot innovators
- Consumers
Government - Different ministries (innovation, health,
education, etc.)- Regional government
NGOsPrivate sector
- MNEs- national companies
- SMEs
Public research institutes and universities
Financial sector- Banks - Impact investors - Aid and
development agencies
- Microfinance
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Coordination within
government institutionsHorizontal (between
ministries)Vertical (local governments)
“Social Innovation Policy” (Colombia)
• A cross-cutting policy between different national institutions:
• 6 regional nodes
Fostering Cooperation Between Actors
The poor - Grassroot innovators
- Consumers
Government - Different ministries
(innovation, health,
education, etc.)
- Regional government
NGOs
Private sector - MNEs
- national companies
- SMEs
Public research institutes
and universities
Financial sector:- Banks - Impact investors - Aid and
development agencies
- Microfinance institutions
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National Innovation Foundation (India)
National Innovation Foundation (India)
• Partners with Honey Bee Network
• Documents grassroot innovations and traditional knowledge : 181,000 ideas
• Support commercialisation Partnership with R&D
institutions Risk capital (Micro
Venture and Innovation Fund)
• Promotes intellectual property use
Policies in Support of Inclusive Innovation
Financial support
24Informality constraints
Uncertain uptake
Types and costs of innovations
Access to expertise, knowledgeand finance
Information about consumer needs
Market conditions for firms
Low access to traditional loans
Lack of financial inclusion
Low access to knowledge networks
Regulatory constraintsGovernmental co-operation
Policy response
Missing infrastructure
Characteristics
Challenges
Co-operation across actors
Financial Support
The poor - Grassroot innovators
- Consumers
Government - Different ministries
(innovation, health,
education, etc.)
- Regional government
NGOs
Private sector - MNEs
- national companies
- SMEs
Public research institutes
and universities
Financial sector:- Banks - Impact investors - Aid and
development agencies
- Microfinance institutions
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Financial Support- Public- Private
Partnerships (South Africa)
- World Bank Viet Nam Inclusive Innovation Project
Financial support
26Informality constraints
Uncertain uptake
Types and costs of innovations
Access to expertise, knowledgeand finance
Information about consumer needs
Market conditions for firms
Low access to traditional loans
Lack of financial inclusion
Low access to knowledge networks
Regulatory constraintsGovernmental co-operation
Policy response
Missing infrastructure
Characteristics
Challenges
Co-operation across actors
Policies in Support of Inclusive Innovation
Regulatory Framework
M-Pesa
• Better penetration than banking in Kenya
• Could not develop in South Africa due to stricter regulation
Financial support
27Informality constraints
Uncertain uptake
Types and costs of innovations
Access to expertise, knowledgeand finance
Information about consumer needs
Market conditions for firms
Low access to traditional loans
Lack of financial inclusion
Low access to knowledge networks
Regulatory constraintsGovernmental co-operation
Policy response
Missing infrastructure
Characteristics
Challenges
Co-operation across actors
Policies in Support of Inclusive Innovation
Regulatory Framework
Innovation and Inclusive Growth
Inclusive Growth
• Inclusive Growth :
Industrial
Social
Territorial
Innovation – Growth Nexus
Globalization, emerging economies and ICT
Innovation policies’ “inclusiveness footprint”
Democratization of
innovation
Social inclusiveness
Increasing role of innovation for
growth
Islands of excellence /
laggards
Territorial and industrial
inclusiveness
-
Emerging economies’
middle class
Number of Inclusive innovations
Policies in support of inclusive innovation
Reduced development costs
of inclusive innovations
Missing scale
Demand factorsSupply factors
+
Innovation – Growth Nexus
Globalization, emerging economies and ICT
Emerging economies’
middle class
Number of Inclusive innovations
Innovation policies’ “inclusiveness footprint”
Policies in support of inclusive innovation
Democratization of
innovation
Social inclusiveness
Increasing role of innovation for
growth
Islands of excellence /
laggards
Reduced development costs
of inclusive innovations
Missing scale
Demand factorsSupply factors
Territorial and industrial
inclusiveness
- +
Concentration of Innovation
Globalization, emerging economies and ICT
Emerging economies’
middle class
Number of Inclusive innovations
Policies in support of inclusive innovation
Social inclusiveness
Increasing role of innovation for
growth
Islands of excellence /
laggards
Reduced development costs
of inclusive innovations
Missing scale
Demand factorsSupply factors
Territorial and industrial
inclusiveness
-
Democratisation of Innovation
Globalization, emerging economies and ICT
Emerging economies’
middle class
Number of Inclusive innovations
Policies in support of inclusive innovation
Democratization of
innovation
Social inclusiveness
Increasing role of innovation for
growth
Islands of excellence /
laggards
Reduced development costs
of inclusive innovations
Missing scale
Demand factorsSupply factors
Territorial and industrial
inclusiveness
- +
Innovation Policies and Inclusiveness
Globalization, emerging economies and ICT
Emerging economies’
middle class
Number of Inclusive innovations
Innovation policies’ “inclusiveness footprint”
Policies in support of inclusive innovation
Democratization of
innovation
Social inclusiveness
Increasing role of innovation for
growth
Islands of excellence /
laggards
Reduced development costs
of inclusive innovations
Missing scale
Demand factorsSupply factors
Territorial and industrial
inclusiveness
- +
Further Information
More about the project
• Visit the project’s website at: http://oe.cd/inclusive
• Email us to subscribe to the project’s newsletter
Contacts:Caroline Paunov: [email protected]
Sandra Planes-Satorra: [email protected]
• Find out more about the report at http://oe.cd/inclusive-inno-report