Evaluating innovative factors of the global innovation index: A panel data approach

Abstract

This study examines the connection between innovation inputs, outputs, and efficiency. Additionally, to establish the connections between the global innovation mechanisms. Furthermore, a closer look at how factors are distinguished and found to be significant based on a country's level of income. To develop the technique in this quantitative research, we utilized panel data from 105 countries and gathered data from the GII, WIPO, and WDI. In light of this, panel-corrected standard errors with robust regression and panel quantile regression techniques were used to obtain the long-run estimations. There were also two methods used to compare the results: two-stage least squares for robustness endogeneity and augmented mean group for cross-section dependency. This research demonstrates that the method is reliable and suggests that countries are open to expansion in innovation inputs, outputs, and efficiency. It also suggests that countries should record problems associated with how well innovations are implemented. In addition, a proper evaluation must be carried out, which includes the development of innovation strategies that consider the varying economic situations of the countries included in this research. Performance in innovation is essential for global success, and this paper investigates the relationship between GII, input, output, and efficiency with creative performance.