National innovation systems, developing countries, and the role of intermediaries: a critical review of the literature

Developed over the past three decades, the national innovation system concept (NIS) has been widely used by both scholars and policy makers to explain how interactions between a set of distinct, nationally bounded institutions supports and facilitates technological change and the emergence and diffusion of new innovations. This concept provides a framework by which developing countries can adopt for purposes of catching up. Initially conceived on structures and interactions identified in economically advanced countries, the application of the NIS concept to developing countries has been gradual and has coincided – in the NIS literature – with a move away from overly macro-interpretations to an emphasis on micro-level interactions and processes, with much of this work questioning the nation state as the most appropriate level of analysis, as well as the emergence of certain intermediary actors thought to facilitate knowledge exchange between actors and institutions. This paper reviews the NIS literature chronologically, showing how this shift in emphasis has diminished somewhat the importance of both institutions, particularly governments, and the process of institutional capacity building. In doing so, the paper suggests that more recent literature on intermediaries such as industry associations may offer valuable insights to how institutional capacity building occurs and how it might be directed, particularly in the context of developing countries where governance capacities are often lacking, contributing to less effective innovation systems, stagnant economies, and unequal development

Neutral versus Loaded Instructions in a Bribery Experiment

This paper contributes to the ongoing methodological debate on context-free versus in-context presentation of experimental tasks. We report an experiment using the paradigm of a bribery experiment. In one condition, the task is presented in a typical bribery context, the other one uses abstract wording. Though the underlying context is heavily loaded with negative ethical preconceptions, we do not find significant differences. We conjecture that the experimental design transmits the essential features of a bribery situation already with neutral framing, such that the presentation does not add substantially to subjects' interpretation of the task.Corruption, context, framing, valence, experimental instructions, laboratory, trust, reciprocity, ethical behaviour, social norms

Individual Heterogeneity, Group Interaction, and Co-operative Behaviour: Evidence from a Common-Pool Resource Experiment in South Africa and Namibia

We present econometric evidence on the influence of an individual’s sociodemographic characteristics, economic background, and dynamic personal and group interactions on co-operative behaviour in a social dilemma situation. The data are from a framed common-pool resource experiment conducted in Namibian and South African farming communities. Our paper helps to better understand the discrepancy between the fact that people seem to care about advancing their relative position in real life but tend to act to reduce inequality in a laboratory setting. We analyse the first move in the game, the cumulated amount of resources gained by the players and, by taking into account the temporal dimension of the game in a panel context, each individual move.Common-pool resources, field experiment, group interaction, relative income position, Southern Africa

Conceptualising uncertainty in environmental decision-making: The example of the EU Water Framework Directive

The question of how to deal with uncertainty in environmental decision-making is cur-rently attracting considerable attention on the part of scientists as well as of politicians and those involved in government administration. The existence of uncertainty becomes particularly apparent in the field of environmental policy because environmental prob-lems are regarded as highly complex and long-term and because far-reaching changes have to be taken into account; moreover, the knowledge available to practitioners and policy makers alike is often fragmentary and not systemised. One key issue arising from this is the challenge to develop scientific decision support methods that are capable of dealing with uncertainty in a systematic and differentiated way, integrating scientific and practical knowledge. This paper introduces a conceptual framework for perceiving and describing uncertainty in environmental decision-making. It is argued that perceiv-ing and describing uncertainty is an important prerequisite for deciding and acting under uncertainty. The conceptual framework consists of a general definition of uncertainty along with five complementary perspectives on the phenomenon, each highlighting one specific aspect of it. By using the conceptual framework, decision-makers are able to re-flect on their knowledge base with regard to its completeness and reliability and to gain a broad picture of uncertainty from various standpoints. The theoretical ideas presented here are based on two empirical studies looking at how uncertainty is dealt with in the implementation process of the EU Water Framework Directive (WFD). The rather ab-stract differentiations are illustrated by a number of examples in the form of interview statements and excerpts from the WFD and the WFD guidance documents Impress, Wateco und Proclan. --uncertainty,probability,lack of knowledge,pure ignorance,environ-mental decision-making,EU Water Framework Directive (WFD)

Taxation and Unemployment: An Applied General Equilibrium Approach

We present an applied general equilibrium modelling approach to analyse employment and unemployment effects of labour tax cuts in an economy where wages are determined through firm-union bargaining at the sectoral level. In such a labour market regime, simulations for Germany show that labour tax policies can make only a small contribution to alleviating the problem of persistent unemployment.applied general equilibrium, wage bargaining, labour tax policy

Product policy and the East-West productivity gap

After 20 years of transition from an economy integrated in an exchange scheme of planned economies towards an open market economy based on the ideas of competition, we ask whether East German firms succeeded in finding their place in the international division of labour. We concentrate on the question, to what extent they have caught up with the productivity level of their Western counterparts of similar size and sector and how this productivity difference is related to changes in their product policy. We analyse these questions with a unique data set provided by Statistics Germany that contains both product policy and productivity information for individual manufacturers from both parts of the country. Using a decomposition approach suggested by Nopo (2008) as a nonparametric extension of the widely-used Oaxaca-Blinder methodology (Blinder 1973; Oaxaca 1973) we find that the time span from 1995-2004 has two component periods: a period of adaptation from 1995 to 2001and a period of branding from 2002 to 2004. The initial period is characterized by a smaller share of Eastern firms that modify their product range and by a large productivity gap of Eastern non-modifiers if compared to Western non-modifiers of comparable size and sector. The evidence for the second period, however, points to a more active and established role of East German manufacturers: more of them alter their product range and step up their productivity performance.Productivity, Product Policy, Decomposition, Transition Economies

The environment as a challenge for governmental responsibility: The case of the European Water Framework Directive

The European Water Framework Directive is shaping a new conception of integrative water protection. In this article, the consequences of the Water Framework Directive in respect to national environmental policy will be discussed in referring to the notion of responsibility which is a central concept of political philosophy and theory. It will be shown that the new conception of integrative water protection entails a fundamental change in European water protection policy and also environmental policy at all. It implies that environmental policy has not only to prevent environmental damage but in particular has to warrant a good status of the environment, such that it must maintain a good status of water or even achieve it if this status does not exist. Achieving and maintaining a good status of the environment is, however, an encompassing task. Thereby, state power and will eventually be overexerted. The threat of such overexertion has to be kept in mind in discussing the perspective of the so called New Environmental Governance. It will be pointed out that the New Environmental Governance is not primarily a form of some sort of democratic participation but rather designed to improve state power in environmental politics. --Environmental politics,European Water Framework Directive,Responsibility,Environmental Governance

Market Competition and Lower Tier Incentives

The relationship between competition and performance-related pay has been analyzed in single-principal-single-agent models. While this approach yields good predictions for managerial pay schemes, the predictions fail to apply for employees at lower tiers of a firm’s hierarchy. In this paper, a principal-multi-agent model of incentive pay is developed which makes it possible to analyze the effect of changes in the competitiveness of markets on lower tier incentive payment schemes. The results explain why the payment schemes of agentslocated at low and mid tiers are less sensitive to changes in competition when aggregated firm data is used.Cournot competition, contract delegation, moral hazard, entry, market size, wage cost

Integration of agent-based modelling of social-spatial processes in architectural parametric design

A representation framework for modelling the social-spatial processes of inhabitation is proposed to extend the scope of parametric architectural design process. We introduce an agent-based modelling framework with a computational model of social-spatial dynamics at its core. Architectural parametric design is performed as a process of modelling the temporal characteristics of spatial changes required for members of a social group to reach social spatial comfort. We have developed a prototype agent-based modelling system using the Rhino-Grasshopper platform. The system employs a human behaviour model adapted from the PECS (Physical, Emotional, Cognitive, Social) reference model first proposed by Schmidt and Urban. The agent-based model and its application was evaluated by comparative modelling of two real Vietnamese dwellings: a traditional vernacular house in Hue and a contemporary house in Ho Chi Minh City. The evaluation shows that the system returns differentiated temporal characteristics of spatial modifications of the two dwellings as expected