Does innovation promote economic growth? Evidence from European countries

Journal of Innovation and Entrepreneurship

A Systems View Across Time and Space

Table 12 Summary of Granger causality test results

Supply-leading hypothesis of innovation-growth nexus			Demand-following hypothesis of innovation-growth nexus
Case 1	Case 2	Case 3	Case 1	Case 2	Case 3
	Austria				Austria
Belgium	Belgium	Belgium			Czech Republic
	Czech Republic		Czech Republic		Ireland
		Denmark
Finland		Finland	Denmark		Netherlands
France	France	France		Finland	Romania
Germany		Germany		Germany	Spain
Greece		Hungary		Greece
Italy	Italy	Italy	Hungary
Netherlands	Netherlands	Norway	Ireland
		Poland	Norway	Norway
		Portugal		European panel
Portugal		Sweden
Romania	Romania	United Kingdom
	Spain
	Sweden
United Kingdom
Feedback hypothesis of innovation-growth nexus			Neutrality hypothesis of innovation-growth nexus
Case 1	Case 2	Case 3	Case 1	Case 2	Case 3
Austria
	Denmark	Finland
		Greece
	Hungary			Italy
	Ireland	Ireland
		Netherlands
Poland
	Portugal			Poland
Spain
Sweden
	United Kingdom
European panel		European panel

Case 1: cointegration between PAR and GDP; case 2: cointegration between PAN and GDP; case 3: cointegration between RDE and GDP. PAR is the number of patents by residents, PAN is the number of patents by non-residents, RDE is research and development expenditure, and GDP is per capita economic growth. Results are derived on the basis of Table 11 results