Economics of Innovation - JEM182

• Anglický název: Economics of Innovation
• Český název: Economics of Innovation
• Zajišťuje: Institut ekonomických studií (23-IES)
• Fakulta: Fakulta sociálních věd
• Platnost: od 2016 do 2016
• Semestr: zimní
• E-Kredity: 6
• Způsob provedení zkoušky: zimní s.:kombinovaná
• Rozsah, examinace: zimní s.:2/2, Zk [HT]
• Počet míst: neomezen / neomezen (neurčen)
• Minimální obsazenost: neomezen
• 4EU+: ne
• Virtuální mobilita / počet míst pro virtuální mobilitu: ne
• Stav předmětu: vyučován
• Jazyk výuky: angličtina
• Způsob výuky: prezenční
• Způsob výuky: prezenční
• Další informace: https://dl1.cuni.cz/course/view.php?id=4866
• Poznámka: předmět je možno zapsat mimo plán; povolen pro zápis po webu; při zápisu přednost, je-li ve stud. plánu
• Garant: Oleg Sidorkin, Ph.D.
• Vyučující: Oleg Sidorkin, Ph.D.

Anotace

Poslední úprava: Oleg Sidorkin, Ph.D. (03.10.2017)

This course will give the students an introduction to a critical analysis of the economics of innovation. It will combine traditional lectures, research paper presentations and case study analysis.

Please, log into Moodle: JEM182 Economics of Innovation, to download lectures, readings, and submit assignments.
URL: https://dl1.cuni.cz/course/view.php?id=4866

Cíl předmětu

Poslední úprava: Oleg Sidorkin, Ph.D. (03.10.2017)

The course will be taught by:

• Oleg Sidorkin, Ph.D., C.Sc., M.A (link)
• Ing. Martin Srholec, Ph.D. (link)

Course objectives:

1. The main goal of this course is to study innovation both from theoretical and empirical perspectives, and introduce students to the main research topics and key research papers in the field.
2. After this course student should be able to identify key research areas in economics of innovation and perspective areas for their own research.
3. The main focus will be on microeconomics, although we will also link innovation to economic growth theory, law and innovation management. We will study the optimal design of intellectual property rights, their pros and cons for innovation.
4. We will examine the connection between ideas, invention and innovation via intellectual property rights, knowledge spillovers and diffusion, incentives, public policies, environmental and entrepreneurship studies and other related topics.
5. A separate attention will be paid to National Innovation Systems, the Globalization of Innovation and Global Value Chains, Green Innovations.
6. We will analyze the behavior of individual innovative firms and innovation cases from economic perspective.

Literatura

Poslední úprava: Oleg Sidorkin, Ph.D. (04.10.2018)

Required Reading:

1. [SS] Scotchmer, Suzanne (2004) Innovation and Incentives, MIT Press. (CERGE-EI Library)
2. [H] Handbook of the Economics of Innovation (2010), Eds. Hall, B.H., Rosenberg, N., (Vol. 1, Vol. 2) Amsterdam: Elsevier. (CERGE-EI Library)

Recommended Reading:

1. [SP] Swan Peter G. M. (2009) The Economics of Innovation, Edward Elgar. (CERGE-EI Library)
2. [T] Tidd, J., J. Bessant (2013) Managing Innovation. Integrating Technological, Market and Organizational Change 5th. ed., Wiley. (CERGE-EI Library)
3. [L] Lipczynski J., J.O.S. Wilson, J. Goddard (2013) Industrial Organization: Competition, Strategy and Policy, 4th ed., Harlow: Pearson. (CERGE-EI Library)
4. Associated articles will be available throughout the course.

Sylabus

Poslední úprava: SCHNELLEROVA (11.10.2018)

Syllabus (dates are tentative, reading assignments will be updated)

Week 1. 05.10.2018 [Sidorkin] Introduction to the economics of innovation.
             [Srholec] An appraisal of the literature on innovation.

1. [H] Chapter 2
2. [SP] Chapter 3
3. Fagerberg J. (2004) Innovation: a guide to the literature in Fagerberg J. Mowery D. Nelson R. (ed) Handbook of innovation Oxford University Press.

Week 2. 12.10.2018 [Sidorkin] Process innovation: Fixed and marginal costs, economies of scale. Product innovation: Preferences, willingness to pay. Product proliferation, product choice, product competitiveness.

1. [SP] Chapter 4-5, Chapter 16

      Recommended reading:

1. Brown R. (1991) Managing the s Curves of Innovation, Journal of Marketing Management 7(2): 189-202.

Week 3. 19.10.2018 [Sidorkin] Innovation diffusion, standards, network and lock-in effects.

1. Hall B. (2004) Innovation and Diffusion, in J. Fagerberg, D. Mowery and R Nelson (eds.) The Oxford Handbook of Innovation, Oxford: Oxford University Press, Chapter 17.

      Recommended reading:

1. David, P. (1985) Clio and the economics of QWERTY. American Economic Review 75(2): 332-337.

Week 4. 26.10.2018 Dean's day. No classes.

Week 5. 02.11.2018 [Sidorkin] Inventions, property rights, patents & secrets.

1. [SS] Chapter 3;
2. Belleflamme, P., & Peitz, M. (2015). Industrial organization: markets and strategies. Cambridge University Press. Chapter 19.1

      Recommended reading:

1. Boldrin, M., Levine, D.K. (2013) The case against patents, Journal of Economic Perspectives 27(1): 3-22.

Week 6. 09.11.2018 [Srholec] Open innovation, collaboration and networking.

1. Chesbrough H. (2006) Open Innovation: A New Paradigm for Understanding Industrial Innovation in H. Chesbrough, W. Vanhaverbeke, J. West, Open Innovation: Researching a New Paradigm, Oxford University Press, Chapter 1

      Recommended reading:

1. Miotti, L., and Sachwald, F. (2003) Co-operative R&D: why and with whom? An integrated framework of analysis. Research Policy, 32: 1481–1499.
2. Von Hippel, E. (2005) Democratizing Innovation, The MIT Press, Chapter 6.
3. Powell, W. W. and Grodal, S. (2005) Networks of Innovators in Fagerberg J., Mowery D, Nelson R. (eds.) Handboook of Innovation. Oxford University Press, pp. 56–85.

      Case study:

1. Zirpoli, F. & Becker, M. C. (2011) What happens when you outsource too much? MIT Sloan Management Review, 59–64.

Week 7. 16.11.2018  [Sidorkin] Optimal Design of Intellectual Property

1. [SS] Chapter 4
2. Belleflamme, P., & Peitz, M. (2015). Industrial organization: markets and strategies. Cambridge University Press. Chapter 19.2-19.3

      Recommended reading: TBD

Week 8. 23.11.2018 [Srholec] Globalization of innovation, global value chains and upgrading.

1. Gereffi, G., Humphrey, G.J. and Sturgeon, T. (2005) The governance of global value chains. Review of International Political Economy, 12, 78-104.

      Recommended reading:

1. Castellani, D. and Zanfei, A. (2006) Views on multinational firms and innovation in Castellani, D. and Zanfei, A. Multinational firms, innovation and productivity. Cheltenham: Edward Elgar.
2. Blažek, J. (2016) Towards a typology of repositioning strategies of GVC/GPN suppliers: the case of functional upgrading and downgrading. Journal of Economic Geography, 16, 849–869.
3. Narula, R. (2002) Innovation systems and ’inertia’ in R&D location: Norwegian firms and the role of systemic lock-in. Research Policy, 31, 795-816

      Case study:

1. Ali-Yrkkö, J., Rouvinen, P., Seppälä, T. and Ylä-Anttila, P. (2011) Who Captures Value in Global Supply Chains? Case Nokia N95 Smartphone. Journal of Industry, Competition and Trade, 11, 263-278.
2. Kraemer, K. L., Linden, G. and Dedrick, J. (2011) Capturing Value in Global Networks: Apple’s iPad and iPhone. University of California and Syracuse University.

Week 9. 30.11.2018 [Sidorkin] Financing innovation: Private investments, knowledge as a public good, public support (subsidies, loans, tax incentives), public-private partnerships.

1. [SS] Chapter 8;

      Recommended reading:

1. Arrow, K. (1962) Economic Welfare and the Allocation of Resources for Invention, In R. Nelson, ed. The Rate and Direction of Economic Activities: Economic and Social Factors, p. 609-626.

Week 10. 07.12.2018 [Srholec] Systems of innovation.

1. [H] Chapter 27

      Recommended reading:

1. Morgan, K. (2004) The exaggerated death of geography: learning, proximity and territorial innovation systems. Journal of Economic Geography, 4, pp. 3–21.
2. Chaminade, C. and Edquist, C. (2006) From theory to practice. The use of the systems of innovation approach in innovation policy, in Innovation, Learning and Institutions, eds. Hage, J., De Meeus, M., Oxford: Oxford University Press.
3. Lundvall, B. Å., Johnson, B. (1994) The Learning Economy. Journal of Industry Studies (Industry and Innovation), 1, 23–42.

      Case study:

1. Blažek J., Csank, P. (2016) Can emerging regional innovation strategies in less developed European regions bridge the main gaps in the innovation process? Environment and Planning C: Government and Policy 34, 1095-1114.

Week 11. 14.12.2018 [Sidorkin] The entrepreneurship and innovation.

1. [T] Tidd, J., J. Bessant (2013) Managing Innovation. Integrating Technological, Market and Organizational Change 5th. ed., Wiley. Chapter 11

      Recommended reading:

1. Acs, Z.J.et al. (2009) The knowledge spillover theory of entrepreneurship, Small Business Economics 32 (1): 15-30. 

Week 12. 21.12.2018 [Srholec] Innovation, capabilities and development.

1. [H] Chapter 20

      Recommended reading

1. Abramovitz, M. (1986) Catching Up, Forging Ahead, and Falling Behind, The Journal of Economic History 46 (2), 385-406.
2. Lall, S. (1992) Technological capabilities and industrialization. World Development 20, 165-186.
3. Fagerberg, J. and Srholec, M. (2008) National Innovation Systems, Capabilities and Economic Development. Research Policy, 37, 1417–1435.

      Case study:

1. Kim, L. (2003) The dynamics of technology development: Lessons from the Korean experience in Lall, S., Urata, S. (Eds.), Competitiveness, FDI and Technological Activity in East Asia. Edward Elgar, Cheltenham, pp. 143-167.

Week 13. [Sidorkin] TBD

 

Quizzes:

In the beginning of each lecture we will hold a 5-minute short quiz covering the topics of previous lectures.

 

Reading and discussion sessions (guidelines and topics will be updated):

Reading actual research papers and studying real-life innovation cases are important parts of the learning how innovation works. Therefore our exercise sessions are divided into two parts:

1. Research papers. During this session you read research papers on the topics, related to lectures, and give presentations about their main results (most likely in pairs). Please, be ready to participate in the discussions.
2. Case studies. For this session you read about actual firms and be ready to give presentation about its innovation success (and decay), analyze and discuss firms’ innovation strategies, response of competitors, impact on the markets, social welfare, and other questions connected to material covered in lectures.