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STI trends in OECD countries Giorgio Sirilli Research Director Outline The OECD Trends in science, technology and innovation in the OECD countries Some reference to the Russian Federation Use of OECD reports: STI Review, STI Scoreboard Country Reviews 2 22 La Muette Located at La Muette in Paris 3 33 La Muette 4 44 La Muette La Muette in the times of Louis XV Montgolfier - 21 November 1783 5 55 The Organisation for Economic Co-operation and Development (OECD) 6 66 The NESTI Group 7 77 The Organisation for Economic Co-operation and Development (OECD) Established in 1961 Austria, Belgium, Canada, Denmark, France, Germany, Greece, Iceland, Ireland, Italy, Luxembourg, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Turkey, United Kingdom, United States of America. 8 88 The Organisation for Economic Co-operation and Development (OECD) Based in Paris Founded in 1961 The OECD originated in 1948 as the Organisation for European Economic Co-operation (OEEC), to help administer the Marshall Plan for the reconstruction of Europe after World War II. Membership There are currently 34 members of the OECD. The list includes 21 of the 28 European Union member states, all except Bulgaria, Croatia, Cyprus, Latvia, Lithuania, Malta, and Romania. The European Commission participates in the work of the OECD alongside the EU Member States. Currently in accession talks: Russia, Colombia, Latvia Likely to open accession talks in 2015: Costa Rica, Lithuania 9 99 The Organisation for Economic Co-operation and Development (OECD) The OECD’s core values Objective: Our analyses and recommendations are independent and evidence-based. Open: We encourage debate and a shared understanding of critical global issues. Bold: We dare to challenge conventional wisdom starting with our own. Pioneering: We identify and address emerging and long term challenges. Ethical: Our credibility is built on trust, integrity and transparency. 10 10 10 The Organisation for Economic Co-operation and Development (OECD) The mission of the OECD is to promote policies that will improve the economic and social well-being of people around the world. The OECD: -provides a forum in which governments can work together to share experiences and seek solutions to common problems, - work with governments to understand what drives economic, social and environmental change, - measures productivity and global flows of trade and investment, - analyses and compare data to predict future trends, - set international standards on a wide range of things, from agriculture and tax to the safety of chemicals. 11 11 11 The OECD role and operation The OECD acts by peer pressure to improve policy and implement "soft law"—non-binding instruments that can occasionally lead to binding treaties. In this work, the OECD cooperates with businesses, with trade unions and with other representatives of civil society. Collaboration at the OECD regarding taxation, for example, has fostered the growth of a global web of bilateral tax treaties. 12 12 12 The structure of OECD: The Directorates Centre for Entrepreneurship, SMEs and Local Development Centre for Tax Policy and Administration Development Co-operation Directorate Directorate for Education Directorate for Employment, Labour, and Social Affairs Directorate for Financial and Enterprise Affairs Directorate for Science, Technology, and Industry Economics Department Environment Directorate Public Governance and Territorial Development Directorate Statistics Directorate Trade and Agriculture Directorate General Secretariat Executive Directorate Public Affairs and Communication Directorate 13 13 13 The structure of the OECD The OECD's structure consists of three main elements: - The OECD member countries, each represented by a delegation led by an ambassador. Together, they form the OECD Council. Member countries act collectively through Council (and its Standing Committees) to provide direction and guidance to the work of Organization. - The OECD Substantive Committees, one for each work area of the OECD, plus their variety of subsidiary bodies. Committee members are typically subject-matter experts from member and non-member governments. The Committees oversee all the work on each theme (publications, task forces, conferences, and so on). Committee members then relay the conclusions to their capitals. - The OECD Secretariat, led by the Secretary-General, provides support to Standing and Substantive Committees. It is organized into Directorates, which include about 2,500 staff. 14 14 14 The OECD budget The work of the secretariat is financed from the OECD's annual budget, currently around US$510 million (€342.9 million). The budget is funded by the member countries based on a formula related to the size of each member's gross national product. The largest contributor is the United States, which contributes about one quarter of the budget, followed by Japan with 16%, Germany with 9% and the UK and France with 7%. The OECD governing council sets the budget and scope of work on a two-yearly basis. 15 15 15 The OECD statistics and publications Statistics The OECD is known as a statistical agency, as it publishes comparable statistics on a wide number of subjects. OECD statistics are available in several forms: - as interactive databases on iLibrary together with key comparative and country tables, - as static files or dynamic database views on the OECD Statistics portal, -as StatLinks (in most OECD books, there is a URL that links to the underlying data). Books The OECD releases between 300 and 500 books each year. Magazine OECD Observer 16 16 16 The OECD: a consensus organisation 17 17 17 Criticisms to the OECD The OECD has been criticised by several civil society groups and developing countries. The main criticism has been the narrowness of the OECD because of its limited membership to a select few rich nations. In 1997–1998 the draft Multilateral Agreement on Investment was heavily criticized by several non-governmental organisations and developing countries. Many critics argued that the agreement would threaten protection of human rights, labor and environmental standards, and the least developed countries. A particular concern was that the MAI would result in a 'race to the bottom' among countries willing to lower their labor and environmental standards to attract foreign investment. Also the OECD's actions against competitive tax practices has raised criticism. The primary objection is the sanctity of tax policy as a matter of sovereign entitlement. 18 18 18 Impact of the OECD Reputation (a reliable organisation) Output under-exploited Language Economic outlook PISA 19 19 19 A broad approach of innovation policy Universities and public research Business sector Government The actors: the knowledge triangle 20 20 20 A broad approach of innovation policy Environmental outcome Scientific Skills discovery Economic Growth Social outcome Technology Universities and public research Innovation Business sector Government Input/output and outcomes 21 21 21 Conceptual model Environmental outcome Scientific Skills discovery Economic Growth Social outcome Technology Universities and public research Innovation Business sector Government The context 22 22 22 Conceptual model Environmental outcome Scientific Skills discovery Economic Growth Social outcome Technology Universities and public research Innovation Business sector Government A friendly guide through complexity… 23 23 23 The great challenges Maintaining jobs and economic growth in open economies requires greater competitiveness (48 million people unemployed in the OECD) The transition to a low-carbon economy and the preservation of natural resources is a major challenge Ageing will dramatically increase pressure on economic performance, social and health care, and public finances Income inequality has increased during the crisis. ICTs offer opportunities to support inclusive innovation. Education and training policies will be essential to avoid exclusion. => Calling for a “new deal” for innovation Raises the status of innovation in the policy portfolio, while seeking to - leverage private funding for innovation and - increase the impact of public action 24 24 24 OECD publications in the area of STI 25 25 25 STI Scoreboard 26 26 26 Thank you for attention 27 27 27 The OECD publications? The Holy Bible? 28 28 28 The use of indicators A rhetoric device: a plethora of figures and graphs “In the various studies on productivity and the New Economy the OECD constantly reminded the reader that the links between science, technology and productivity have not been demonstrated”. “A large series of graphs and figures could persuade the reader of the seriousness of the study. Although no statistics could be used to prove the emergence of the New Economy, graphs and figures nevertheless served the purpose of empiricism”. (Godin, 2004) 29 29 29 The use of indicators A rhetoric device: a plethora of figures and graphs The rhetoric of numbers Policy prescriptions based on shaking statistical evidence (New Economy) The “umbrella” concept, slogans, buzzwords, which shape new ways to arrange old indicators 30 30 30 R&D in the world 31 31 31 Mega trends 32 32 32 Tangible and intangible investment 33 33 33 Tangible and intangible investment 34 34 34 Citizens are confident in science and technology, but … Surveys carried out across a large number of countries indicate that the public has a mainly positive view of the impact of science and technology on their personal well-being. However, the surveys do find that a significant fraction of the population has mixed or critical opinions as regards the balance of the beneficial and harmful effects of scientific research.They also suggest that non-European countries tend to have more positive views of science and technology. 35 35 35 Citizens are confident in science and technology, but … Surveys carried out across a large number of countries indicate that the public has a mainly positive view of the impact of science and technology on their personal well-being. However, the surveys do find that a significant fraction of the population has mixed or critical opinions as regards the balance of the beneficial and harmful effects of scientific research.They also suggest that non-European countries tend to have more positive views of science and technology. 36 36 36 R&D intensity 37 37 37 Performers of R&D 38 38 38 R&D by type 39 39 39 Innovation in the crisis Annual growth rate of GDP and GERD, OECD, 1993-2013 and projections to 2014 and 2015 40 40 40 Innovation in the crisis 41 41 41 Diverging Europe: ambituous targets National R&D spending targets and gap with current levels of GERD intensity, % of GDP, 2014 Source: OECD estimates based on OECD MSTI database, June 2014. 42 42 42 The restructuring of the public R&D system 43 43 43 Public research as a % of GDP 44 44 44 Public budgets are levelling off or receiding Public R&D budgets (GBAORD), as % of GDP, 2013 compared to 2011 Source: OECD estimates based on OECD MSTI database, June 2014. 45 45 45 Knowledge-based capital 46 46 46 Knowledge-based capital 47 47 47 Innovative firms and modes of innovation 48 48 48 Colaboration in innovation 49 49 49 EU Innovation Index: four groups 50 50 50 EU Regional Innovation Index: heterogeneity 51 51 51 Public financing of firms 52 52 52 Role of multinationals in national R%D 53 53 53 Increasing international collaboration in science 54 54 54 Scientific production 55 55 55 International flow of scientific authors 56 56 56 International flow of scientific authors: the US 57 57 57 Patents by technology fields Patents in ICT, health and biotechnologies account for the majority of patent applications worldwide, although their relative importance has decreased from almost 72% in 2000 to 54% in 2011. Patents in nanotechnologies and the environment in 2000 accounted for about 6% of all patents, show an increase to 10% in 2010 58 58 58 Patents by technology fields Patents in ICT, health and biotechnologies account for the majority of patent applications worldwide, although their relative importance has decreased from almost 72% in 2000 to 54% in 2011. Patents in nanotechnologies and the environment in 2000 accounted for about 6% of all patents, show an increase to 10% in 2010 59 59 59 Government funding of business R&D 60 60 60 Basic research in the public sector 61 61 61 Industry financing of R&D of higher education and PROs 62 62 62 Hot issues in the Russian Federation - Reforming and improving the public research system (including the university research) - Improving returns and impact of science - Improving the education system - Encouraging innovation in firms and supporting entrepreneurship and SMEs 63 63 63 Russian federation 64 64 64 Russian Federation 65 65 65 Russian Federation 66 66 66 OECD et al. Thank you for attention 67 67 67