Systems of innovation, diversification, and the R&D trap: a case study of Kuwait

Arman, H., Iammarino, S., Ibarra-Olivo, J. E. ORCID: https://orcid.org/0000-0002-3873-2886 and Lee, N. (2022) Systems of innovation, diversification, and the R&D trap: a case study of Kuwait. Science and Public Policy, 49 (2). pp. 179-190. ISSN 1471-5430 doi: 10.1093/scipol/scab073

Abstract/Summary

The relationship between R&D investment and economic development is well established. Yet at a global scale, the resource rich countries of the Gulf Cooperation Council (GCC) are consistent outliers in this relationship, combining rich-world national incomes with R&D expenditure of developing countries. This paper uses a case study on Kuwait to illustrate a particular form of developmental trap, a version of the resource curse which makes it irrational for private business firms to invest in R&D and innovation. Based on an analysis of the literature and secondary data, focus groups, and an original survey of large manufacturing firms, we argue that a narrow focus on R&D-led diversification of economic activity ignores the systemic problems faced by Kuwait, and particularly the unsuitable supply of skills and capabilities provided by the national education and training system.

Item Type	Article
URI	https://reading-clone.eprints-hosting.org/id/eprint/101015
Identification Number/DOI	10.1093/scipol/scab073
Refereed	Yes
Divisions	Henley Business School > International Business and Strategy
Publisher	Oxford University Press
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