Institutions, policies and diverse innovation systems: experiences from the US, Germany and South Korea

Abstract

ABSTRACT The importance of technological innovation in economic development has been acknowledged, and appropriate approach for building innovative countries needs further studies. The article uses the U.S., Germany and South Korea, three innovative countries, respectively, with three different politico-economic institutions, to explore the influence of institutions on the content and implementation of innovation policies. The similar institutional frameworks of the three countries bring policy convergence, but different government-enterprise relations, labour relations and capital market organizations affect their policy implementations and their final innovation systems. Thus, the compatability between institutions and policies is more critical than the “correctness” of innovation policy models.