The Innovation for Development Report 2010–2011

This report provides a comprehensive look at the role of innovation in promoting economic and social development. It examines the impact of innovation on the economic growth of developing countries and the future role of technological innovation in international efforts to mitigate the effects of climate change, amongst many other issues.

Our understanding of what drives national prosperity has evolved over time. Natural resources, population growth, industrialization, geography, climate, and military might have all played a role in the past. We also know that the relative importance of these drivers has shifted over time and that in recent decades more importance has been given to the coherence and quality of policies and the development of supporting institutions. A relative newcomer to this debate identified as perhaps one of the most important modern engines of productivity and growth has been the innovation excellence of a country, that is, its industries, researchers, developers, creative thinkers, politicians, lecturers, managers, and clusters.

The Innovation for Development Report provides a comprehensive look at the role of innovation in promoting economic and social development. The Report is divided into three thematic parts. The first features the Innovation Capacity Index, a tool for assessing the extent to which nations have succeeded in developing a climate that will nourish the potential for innovation. The second part of the Report contains several papers from leading experts addressing different dimensions of innovation. Among the questions addressed: the impact of innovation and knowledge spillovers on the economic growth and development potential of developing countries, the learning economy as a phase of economic development, social entrepreneurship as a key innovation for the business community in the 21st century, breakthrough innovation and the growth of innovation clusters, and the future role of technological innovation in international efforts to mitigate the effects of climate change, among others. The third part of the Report will present innovation profiles for 70 of the most important countries, which account for the lion's share of world output.

Augusto López-Claros was Chief Economist and Director of the Global Competitiveness Programme at the World Economic Forum in Geneva, and served as editor of the Global Competitiveness Report, the Forum's flagship publication. He is founder and CEO of EFD Global Consulting Network, an international consultancy specializing in economic, financial, and development issues, working with governments and private corporations on a broad range of subjects, including aspects of economic reform in transition economies, competitiveness and productivity, and the role of technology and innovation in the development process. He is also honorary professor at the European Business School in Frankfurt. A summary of his recent activities and projects may be found at http://www.augustolopez-claros.net

The Innovation for Development Report provides an in-depth examination of the conditions that foster innovation so that they can be replicated globally. The Report provides valuable insight into how we can inspire minds around the world and accelerate our journey toward the future we imagine forourselves. I encourage you to think deeply about the Report, discuss it with others, and consider the many ways we can apply these lessons to make innovation central to how we function as nations and as a global society.

Steven A. Ballmer, Chief Executive Officer, Microsoft Corporation

Together with a team of eminent contributors from diverse backgrounds, institutions and countries, Augusto López-Claros has put together a volume that delivers a range of insightful perspectives on many dimensions of innovation and offers the Innovation Capacity Index, a tool for assessing the extent to which nations have succeeded in developing a climate that will nourish the potential for innovation.

Christopher Jahns, President, European Business School

AUGUSTO LOPEZ-CLAROS was the Chief Economist and Director of the Global Competitiveness Program at the World Economic Forum in Geneva (2003-2006), where he was the Editor of the Global Competitiveness Report, the Forum's flagship publication. He is the Founder of EFD: Global Consulting Network, an international consultancy specializing in economic, financial and development issues and working with governments and private corporations on a broad range of subjects, including aspects of economic reform in transition economies, competitiveness and productivity, and the role of technology and innovation in the development process. He was co-editor of The International Monetary System, the IMF, and the G-20: A Great Transformation in the Making? (Palgrave Macmillan, 2007) and also The Humanitarian Response Index: Measuring Commitment to Best Practice (Palgrave Macmillan). A summary of recent activities and projects can be found at www.augustolopez-claros.net.