National innovation system as the basis of the country economic growth

Abstract

The need to development a national innovation system as a basis for economic growth was substantiated at the theoretical and empirical levels in the article. Within this goal, theories of economic growth were considered , the place of innovations in them was revealed, the concept of national innovation systems was study, the impact of the national innovation systems efficiency on the level of economic developmentidentify was identified. Theoretical models and results of empirical research show that the main strategic factors of long-term economic growth are innovations and their determining factors. In turn, economic growth on an innovation basis requires the creation of appropriate institutional structures, which are united by the concept of national innovation systems. The efficiency of national innovation systems is assessed and its impact on the level of economic development of European countries is revealed. The efficiency of the national innovation system of Ukraine is very low, amounting to 35.4 % of the European average. For Ukraine, there is a connection: low efficiency of the national innovation system → low level of innovation activity → low level of GDP per capita. Not a high level of economic development, in turn, impairs the efficiency of the national innovation system, there is a «trap» of inefficiency. This requires the formation and implementation of a scientifically sound set of measures at the state level to get out of the «trap». Such measures include the following recommendations: establish the indicator of knowledge intensity of GDP as the most important macro indicators of strategic economic development, recognize the financing of science as the most important priority of financing policy; stimulate private investment in research and innovation, expand initiatives such as the formation of venture funds to increase private investment and long-term capital; create a reliable national regulatory framework; simplify state aid rules in the field of science and innovation, especially for small businesses, use common evaluation standards for research and innovation projects; recognize the key role of higher education in providing promising skills and compe- tencies for the successful implementation of innovations, stimulate research in universities; support innovation cooperation.