GOVERNANCE OF INNOVATION POLICY: THE CASE OF ESTONIA

Abstract

Discusses Estonian efforts to implement an innovation policy aimed at encouraging entrepreneurs to invest in the spheres that are characterized by high value added and intensive application of technologies and skills that ensure economic growth and improvement of the living standard. An innovation policy uses the establishment and implementation of priorities as its tools. The competitiveness of the Estonian economy has been declining since the mid-1990's. Furthermore, Estonia's innovation policy lacks measures to contribute to the improvement of competitiveness. The failure of the policy is primarily due to the governance approach to the innovation policy, which emphasizes competition and partnership and has led to renunciation of the establishment and implementation of priorities. [ABSTRACT FROM AUTHOR]