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How Is Innovation Measured?

From stlouisfed.org

Why is innovation important to an economy? Economist Ana Maria Santacreu has addressed that question in her discussions of innovation and in her research on economic growth, international trade and macroeconomics. Economists view innovation as the main driver of productivity growth, which in turn is viewed as the main driver of economic growth, she explained in a 2017 Economic Synopses essay. (Productivity is the ratio of output per worker per unit of time.) But how can innovation be measured? Which countries are the world leaders in innovative activity? And in the U.S., which states have the most innovation? How ... (full story)

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