Innovation, Path Dependency, and Policy

Abstract

Abstract Innovation is often associated with high-technology industries, such as information and communication technologies, scientific research in large-scale facilities in firms or universities, and professionals working in highly urbanized environments. Norway, however, has no major international firms in high-tech industries. Its share of R&D in GDP and population density are among the lowest in Europe and exports consist mainly of natural resource based products. Still productivity, measured as GDP per capita, is among the highest in the world in Norway and this holds even if rents from its oil and gas production are adjusted for. This book focuses on the relationship between Norway's pattern of economic specialization and its innovation system. The Introduction to the book outlines the ‘national systems of innovation’ approach, considers its application to the Norwegian context, and compares the Norwegian evidence to that of other developed countries. The first section of the book then provides an analysis of the development of the Norwegian national innovation system, with particular emphasis on the public research infrastructure and government policies affecting innovation. The second section contains detailed studies of innovation within important sectors of the Norwegian economy, including aluminium, aquaculture, the oil and gas industry, and the ICT sector. The third and final section analyses the current structure and performance of Norway's knowledge infrastructure (public research institutes and universities) and policies for financial support of innovation-related activities in industry.