and far too much unproductive wastefulness in our current economy to sweep away our current situation as being mere victims of the bloated wrongdoings of previous regimes.
Ireland needs jobs and industry in order to grow its way out of our economic crisis. Make no mistake;
and hope that it will lead to enhanced economic activity, increased numbers of startups and increased engagement by all groups in the entrepreneurial arena.
and further face-to-face meetings were held throughout the summer and autumn with hundreds of other entrepreneurs and stakeholders.
Following investigation, analysis and discussions with a wide variety of stakeholders, the Forum ultimately developed a series of recommendations
Entrepreneurship is a fundamental driving force in any economy, but in light of the scale of the unemployment challenge that Ireland is currently facing,
-10-1 Kauffman Foundation Research Series (July 2013)‘ Firm Formation and Economic growth'.'2 The 2012 Global Entrepreneurship Monitor Report shows that the rate of early stage entrepreneurship in Ireland is compared 6. 1
and build international enterprises will bring real dividends via economic growth. This solid and continuous growth would solve the sovereign debt problem facing Ireland more quickly
it is also the number one producer of jobs in all leading developed economies in the world.
Success in an economy is something that requires 10,000 entrepreneurial leaders, each of whom is willing to take risks
and their teams that we will grow our economy. This battle will not be led by government, by one person or by a handful of great industrialists.
and hope that it will lead to enhanced economic activity, increased numbers of startups and increased engagement by all groups in the entrepreneurial arena.
With English now the primary language of today's world economy, learning a programming language has arguably become more important than learning a second spoken language.
The Forum's stakeholder consultation process with successful entrepreneurs strongly identified mentoring as a critical success factor.
perhaps organised and facilitated by industry representative groups around the country. 3. 2 One-to-One Mentoring Based on observations and stakeholder feedback,
After failing due to the economic downturn, the peer-to-peer support I received spurred me on to get up
which every stakeholder could build. Additionally the reduction in state funding for HEIS has required academic institutions to source a greater amount of their funding from industry (e g. provision of training programmes, undertaking research, donations, etc.
SFI and the IRC have recognised increasingly that commercialisation is one of the highest and most noble ways for this research to have impact on the lives of The irish citizen and on the economy as a whole. 30.
or an MBA while conducting their thesis research at a small marginal cost to the university as the student is enrolled already.
Unnecessarily difficult structures mean that share ownership-which could actually take more than four years to establish-is triggered on liquidity events, making
We believe that formalising a programme to enable youth to develop work skills would benefit youth, employers and the economy as a whole.
as well as allowing Irish companies greater access to the Chinese economy, would promote these links. Enabling more immigrants to start-38-32 Kaufmann Foundation,
liquidity and value of collateral a regulated entity must not impose unreasonable collateral requirements for providing credit facilities,
because the entire economy depended on three local banks. That is a mistake we will be paying off for generations. 56.
and also covered some long-term issues to support an entrepreneurial spirit in the economy. The key short term recommendations were:
as that results in a‘black hole'economy, an economy that sucks out its most successful participants.
risktaking and enterprise and therefore are neither efficient nor conducive to increasing strong economic growth. Governments everywhere try to encourage people to reinvest their earnings into the economy.
A progressive policy with respect to entrepreneurship sets tax rates on invested capital at a more favorable rate (Capital gains tax) than income from PAYE employment, interest, dividends and other sources.
The benefit of having a low flat tax rate that everyone pays would eliminate the tax arbitrage that plagues several developed economies like Ireland.
and results in a dying economy. 67. A flat tax on all types of income at 15-20%would be a fantastic way of attracting corporations, immigrant entrepreneurs,
Ideas, structure, state action and economic growth: Rethinking The irish miracle. Review of International Political economy, 19 (1), 87-113.
Migration and Diversity (2012) Live Register (2013) Danish Government Reports Denmark in the Global economy, Competitiveness Report (2010) Strategy for Denmark in the Global economy, Progress Innovation & Cohesion
Forfás Reports (2007) Towards Developing an Entrepreneurship Policy for Ireland (2007) Mapping of Initiatives to Support Entrepreneurship in Ireland (2009) The role of Phds in the Smart Economy (2012) Evaluation
International Policy Reports for Economic growth Cooney, T. M. Kidney, E. 2009) Entrepreneurship and Innovation Policy in Ireland References-60-Joint Committee on Jobs, Enterprise
a Joint Cities 2020 and Knowledge Economy Programme Report. Work Foundation. Lundstrom, A. 2011) Entrepreneurship and SME Policies across Europe Organisation for Economic Co-Operation and Development Reports Entrepreneurship at a Glance (2013) Education at a Glance (2011) Entrepreneurship Review
Entrepreneurship Development Index Structure 67 4 National Policy Statement on Entrepreneurship in Ireland As we move into a period of economic growth following one of the darkest periods in the history of the State,
and skills have been fostered in all areas of the economy, and played no small part in building our economic recovery.
Enterprise and Innovation this segment of economic activity will continue to make a significant contribution to our wellbeing in the future.
There has been wide stakeholder engagement over the last two years to support the development of this Policy Statement through public consultation, the work of the Entrepreneurship Forum and direct contact with academics and entrepreneurs.
and wellbeing of any thriving economy and will be central to Ireland's continuing recovery. Historically, two thirds of new jobs in Ireland have been created by companies in their first five years2.
Ireland can double the jobs impact of startups on our economy if we: 1. Increase the number of startups by 25%(3, 000 more startups per annum) 2. Increase the survival rate in the first five years by 25%(1, 800 more survivors per annum) 3
The picture is even more complex at a national level due to the inherent complexity of economic systems.
GEDI 2014 The 2014 GEDI identifies America as the most enterprising large economy. The EU comes second,
despite having one of the world's most vibrant high-tech economies. Hong kong comes 35th, despite being one of the largest business centres in Asia.
Factor-driven economies need to focus on entrepreneurial attitudes, to stimulate initial activity and subsequently begin the process of enabling entrepreneurial aspirations.
The focus of efficiency-driven economies, however, should be squarely on promoting entrepreneurial activity. However, here too, it is important to continue efforts to improve attitudes towards entrepreneurship
Ireland's entrepreneurial profile is that of an innovation-driven economy. The innovation-driven stage is biased towards high value added industries in which entrepreneurial activity is important.
In innovation-driven economies the key focus should be on aspirations-the newness of the product and of technology, internationalisation,
Autio & Szerb 2012 National Policy Statement on Entrepreneurship in Ireland 19 GEDI Level of Development Attitudes Activity Aspirations Factor Driven Economy Key Focus
Develop Start Enabling Efficiency Driven Economy Continuous Improvement Key Focus Develop Innovation Driven Economy Continuous Improvement Continuous Improvement Key Focus The implied key
For an innovation driven economy, opportunity perception potential is a prerequisite to recognising and exploring novel business opportunities.
the US and UK. 1. 1 Culture Entrepreneurship is a powerful driver of economic growth and job creation.
DES) Work with education stakeholders across the education system to identify best practice and to mainstream successful programmes wherever feasible.
SFI, Irish Research Council, with relevant stakeholders) Celebrate and reward successful entrepreneurs Develop existing entrepreneurship award schemes to ensure specific categories of untapped potential are promoted
The Commission for the Economic Development of Rural areas (CEDRA) report, Energising Ireland's Rural Economy, published in April 2014,
identified that the recent downturn in economic activity has had a greater detrimental impact on rural areas than on urban ones.
various stakeholders highlighted areas for improvement, including: Many of the supports for startups are difficult to understand
the right conditions for entrepreneurship to thrive include fiscal policy, with both tax rates and tax incentives supporting entrepreneurship and influencing investment decisions.
without any indexation allowance to compensate for the effects of inflation. These increases in CGT rates create a challenge for Ireland's competitiveness.
The new system will be developed for the retail sector in the first instance and subsequently rolled out to other sectors of the economy.
in an integrated way of the supports across government Opportunities to work with other stakeholders to develop hubs for entrepreneurship
KTI has committed to engaging with stakeholders to consider the case for introduction of Easy Access IP into The irish system for certain early-stage IP,
It also brings benefits to the economy by supporting business growth and market competition, thereby generating wealth
In many cases the lack of a first reference sale or credit history are key barriers to accessing bank finance. 4. 1 Access to bank lending Banks will need to engage more deeply with individual sectors of the economy
Creative Europe was developed in response to a widely held view that SMES in the CCI sector experience particular difficulties in assessing the economic value of such intangible assets as novelty, soft innovation,
copyright and creativity and their failure to reflect this in financial accounts. One of the aims of this element of the programme will be to help financial intermediaries gain a better understanding of the creative industries sector.
and to support a truly entrepreneurial Ireland requires collaboration amongst all stakeholders, across and within the public sector, industry representative bodies,
The increasing desire and capability of the main stakeholders to support other entrepreneurs and to act collectively presents many opportunities and signals a new era for entrepreneurship in Ireland.
Strengthening the linkages between the main stakeholders and supporting and identifying mechanisms for cooperation and knowledge sharing will be a key focus of our efforts.
Following discussions with various stakeholders, there was an expressed desire not to establish a formal government led working group around this issue in light of the competing position of various providers and potential providers of co-working
and their teams that we will grow our economy. This battle will not be led by government, by one person or by a handful of great industrialists.
a small domestic market in one of the most open economies in the world. Trade, tourism and investment are crucial to future prosperity.
Startup and smaller businesses operating in the domestic economy need to be encouraged to access a wider market
thereby positioning it as a key element in the economic growth agenda. This Policy Statement has set out the core objectives
including encouraging an innovative and enterprising economy, creating high-value jobs, attracting, developing and nurturing business,
and one of the most open economies in the world, trade is crucial to our economic growth.
and other stakeholders to implement the recommendations of the Forfás Review of Business Mentoring Services in Ireland.
Aims to increase the availability of risk capital for SMES to support economic growth through the continued development of the Seed
termed Innovation Economics, which stresses why decisions on taxes and spending should be driven by the need to promote economic growth.
Rather than concentrating on boosting aggregate demand or reducing the federal debt, policymakers should be guided by the need to reduce the debt-to-GDP level over the medium term,
putting everything on the table) can easily weaken the economy over the medium term, making it harder to reduce the debt-to-GDP ratio.
rather than on ways to increase economic growth. In addition, their proposals for spending and taxes seem to treat all outlays and revenues the same, regardless of their effect on growth.
Both effects would reduce economic growth, resulting in total budget savings significantly lower than what would be achieved by cutting true non-investment spending.
Instead of focusing solely on the budget deficit, Congress and the Administration should take a more focused approach to reducing the budget deficit by adopting policies that boost economic growth,
while also growing the economy, policymakers should do four things. The first two focus on increasing GDP growth rates,
a. Instituting progressive indexing that indexes SSI benefits to wages for low-income workers and to inflation for high-income workers;
which will help reduce the debt-to-GDP ratio. 4 An increase of just 0. 1 percent in the GDP growth rate would reduce the budget deficit by as much as $300 billion cumulatively over the next decade. 5 Given the economy's poor
drive economic growth and increase future incomes) and consumptive spending (expenditures that finance consumption of goods
while also cutting the corporate rate will help move the United states away from a consumption-centered economy to an investment-centered one.
However, once the effects of induced investment and higher economic growth were taken into account, ITIF estimated that the expanded credit would pay for itself after 15 years. 9 In other words,
including for manufacturers. 10 The evidence shows that higher corporate rates reduce economic growth, including reduced international competitiveness. 11 As a result,
Policies that reward productive investment clearly increase the capital stock of the economy in turn producing higher incomes and more tax revenue.
Congress should also increase funding for research that is focused more on commercial innovation and U s. competitiveness. 22 Education and Skills In a more knowledge-based economy,
a well-educated and trained workforce contributes to economic growth and competitiveness. 23 As a result, in addition to expanding the R&d tax credit to include corporate expenditures on training,
and then index it for inflation. This would raise approximately $45 billion per year which should be devoted to the Highway Trust fund. 26 At the same time,
since every person added to the economy also consumes resources. The latter, expanding work hours, is more effective
Moreover, with the move to an economy with many more jobs in the services sector, the availability of jobs that require limited physical exertion has grown.
from 84.8 percent in 1990 to 78.8 percent in 2011.40 Every worker who leaves the labor force can generate a double-drag on the economy,
Economists David Autor and Mark Dugan argue that the SSDI eligibility application process should focus on objective data with specific maladies for
One reason why wages have not increased for these jobs is that the federal minimum wage has declined in inflation-adjusted dollars from $10. 77 in 1968 to $7. 25 per hour today. 48 As a result,
and by the overall competitiveness of the U s. economy. 49 Once the economy is back to full employment,
bringing the economy back to full employment. In addition, a higher minimum wage would reduce outlays from the earned income tax credit.
But this view reflects what economists call the lump of labor fallacy, which refers to the notion that the amount of work available to workers is fixed.
Congress should institute progressive indexing that indexes SSI benefits to wages for low-income workers and to inflation for high-income workers.
as commodity prices are enough to encourage future investment in the development of oil and gas.
however, should be levied as an economy-wide carbon tax on upstream, combustible, fuel sources (e g.,
even though the proportion of national income going to those above the eightieth percentile has increased markedly. 69 Both in theory and practice,
There is nothing inherently objectionable about using the tax code as a means of social or economic policy;
and competitiveness, it will need to move from a consumption economy to an investment one, and policies that reduce spending on housing will move us in that direction.
000 of the mortgage and not be indexed to inflation. 80 A second place to start is for Congress to eliminate employment related tax benefits,
and competitiveness, it will need to move from a consumption economy to an investment one, and policies that reduce spending on housing will move us in that direction.
Innovation Economics: How a New Theory Casts Light on an Old Problem of the Budget deficit (ITIF, October 2013), http://www2. itif. org/2013-innovation-economics-new-theory-old
-problem-budget. pdf. 2. Robert Atkinson et al. Taking on the Three Deficits: An Investment Guide to American Renewal (ITIF;
Cultivate Growth, New york times, November 16, 2010, http://www. nytimes. com/2010/11/17/business/economy/17leonhardt. html. 5. Congressional Budget Office, The Budget and Economic Outlook:
Robert D. Atkinson and Stephen J. Ezell, Innovation Economics: the Race for Global Advantage (New haven, CT:
Refueling the US innovation Economy (ITIF, December 2010), http://www. itif. org/files/2010-refueling-innovation-economy. pdf,
Craig Elwell, Inflation and the Real Minimum wage: A Fact Sheet (Congressional Research Service, September 12, 2013), 2, http://www. fas. org/sgp/crs/misc/R42973. pdf. 49.
He is also the author of the books Innovation Economics: The Race for Global Advantage (Yale university Press, 2012) and The Past and Future of America's Economy:
Long Waves of Innovation that Power Cycles of Growth (Edward Elgar, 2005. Dr. Atkinson received his Ph d. in City and Regional Planning from the University of north carolina at chapel hill in 1989.
2014 GLOBAL R&d FUNDING FORECAST U s. R&d investment up one percent to $465 billion Historic U s. commitment to research intensity expected to remain firm Economic growth continues to propel Asian R&d spending
which is a public service for use by policy makers, corporate research leaders, researchers, educators, and economists.
This perspective is based on assumptions about the economy, and on indications that our leaders in Washington may be able to find common ground on the value of R&d investment.
where increasing research intensity amplifies the investment momentum that strong economic growth provides. In a world where scientific discovery and technology commercialization are truly global,
There is an important relationship between economic growth and research and development, between industry creation and political stability, and between the nurturing of research
Emphasis by Southeast Asian countries on economic growth through increased R&d investments is likely to continue through the end of the decade.
-scale economic growth. The research standouts in the Rest of the World: The Rest of the World countries are expected to undergo moderate growth in R&d investment in 2014, with leadership from countries like South korea, Russia and Taiwan.
The 2013 slowdown was due primarily to unsettled European and U s. economies that, in turn, affected global performance.
China continues its unmatched economic growth and double-digit R&d increases. R&d rankings have not changed significantly in the past five years,
This rate of growth is expected to continue through the end of the decade as China strives to transition from a manufacturing economy to being driven innovation by 2020.
At current rates of R&d investment and economic growth, China could surpass the U s. in total R&d spending by about 2022.
Differences among regions in R&d economics as well as major science and technology priorities, are narrowing. Noteworthy exceptions include China and India,
U s. R&d investment will increase by 1. 0%(after inflation) to $465 billion. National research intensity will remain stable at 2. 8%of GDP.
Total Federal government Industry Academia Other Government www. rdmag. com December 2013 R&dmagazine 9 In the current economy, R&d jobs are multiplied 3. 2x Projected
an additional 6 million U s. jobs will be supported. 2 R&d spending is amplified 2. 9x As R&d spending ripples through the U s. economy,
Long-term economic growth is linked to research intensity The most important example of long-term R&d impact is U s. economic growth in the second half of the 20th century.
Against the Office of Management and Budget's estimate of 2. 2%inflation for 2013-2014, the forecast level of R&d would be an increase of 1. 0%in real terms.
General acknowledgement that R&d investment has both short-and long-term return to the economy. Concern about maintaining U s. innovation-based competitiveness at a time
industry investment in R&d as a whole was flat in 2013 due to the slow global economy, continued rationalization of R&d activities in selected industries and the private-sector impact of federal budgets
that industrial R&d spending is correlated with the current economy and the stability of its outlook.
and is correlated with the business cycle and economy rather than government actions. As a group, the nation's research universities are the second largest performer of U s. R&d, accounting for 13%of the U s. total,
Globalization Unleashed Globalization of R&d has accelerated in the past decade through a combination of R&d funding growth in emerging economies, off-shoring and outsourcing of a portion of western R&d, improved communications and the need for larger-scale
and particularly in Asia, recognize the importance of investing in the building blocks of innovation-based economies.
All countries seek economic growth often amplified by the need for job creation to match rising populations:
toward becoming an innovation-based economy by 2020. Such a command approach can sometimes accelerate the translation from research to development.
and economists have warned that sustained large investments in innovation must be paired with investments in social and environmentalprotection infrastructures.
growth in China's economy is likely to propel it to the top position in absolute R&d spending by the early 2020s.
China's middle class will expand from 35%to 75%over the next 10 years a demographic statistic that reflects economic growth and, to some extent,
China's goal of an innovation-driven economy by 2020 requires solving resources and environmental challenges.
But efficient manufacturing alone is not adequate to maintain economic growth. Recognizing this, China intends to evolve from a manufacturing-centric model in 2013 to an innovation-based economy by 2020.
Mirroring the approach taken by the U s.,Europe and Japan since WORLD WAR II, China is making steady progress at building a research infrastructure 2014 GLOBAL R&d FUNDING FORECAST
stable domestic evolution to an advanced economy, power projection and international prestige. These goals are manifested in large R&d-enabled projects like a Chinese space station
Comparison of annual change in national R&d investment www. rdmag. com December 2013 R&dmagazine 15 must be overcome to reach the 2020 innovation-economy target.
China's continued strong economic growth more than three times that of the U s. provides the resources to support its strong R&d investments
and expansion of basic infrastructure as well The ambitious program and globally enabled economic growth means that China has become an exporter of jobs into Asia to meet its own needs.
In addition to recognizing the strong linkage between R&d and economic growth, it is likely that the professional perspectives of China's leadership are influential in science and innovation policy:
ending the longest economic contraction on record for the EU The rebound was driven by the EU's largest economy, Germany,
Most European countries are forecast to experience economic growth of about 1%through 2014, although Eastern European countries could see GDP (and related R&d) growth rates in the 1%to 2%range.
Most Asian countries are projected to experience significant economic growth in 2014. When GDP momentum is paired with national commitments to increase research intensity,
Russia's economy is expected to grow 3, %with R&d growth exceeding that rate. Russia's strong infrastructure for scientific research positions it better than other CIS affiliates,
Among this group are driven innovation economies like South korea (where $63 billion will be invested in R&d in 2014), to significant nations with relatively low emphasis on R&d (e g.
Research Intensity Trends in BRIC and Other Key Nations www. rdmag. com December 2013 R&dmagazine 19 ing a border with the U s. and an economy that is expected to experience reasonable growth in 2014,
while having economies about one tenth the size. In ROW, Means & Policy Disproportionately Affect R&d The sustained high rates of R&d growth in China are unusual.
India's projected rate of R&d funding growth in 2014 is only one-fifth that of its anticipated economic growth.
a lack of willingness or capacity to invest in R&d could restrain such economies from reaching larger potential in the long term.
as global economic growth slows in the future (as it is projected to do), the supply of capital will fall short of demand by 2030.
This is especially important for those among the 74 ROW economies with limited R&d infrastructures: They could become even more restricted in building a foundation for R&d in the future than they are now.
In Their Own Words Comment from the Battelle/R&d Magazine Global Researcher Survey The globalization of research, finance, production, etc. will balance world economies in ways not seen ever before to the advancement of some and the stalling or loss
Thomson Reuters 20 R&dmagazine December 2013 www. rdmag. com 2014 GLOBAL R&d FUNDING FORECAST Maximizing the Economic value of R&d:
While there is a significant immediate economic impact from R&d activities (estimated to reach a total impact of 8. 7 million jobs from the full effects of R&d spending across the U s. economy in 2014),
What it Takes to Build a Successful R&d Ecosystem In successful economies, innovations are fostered and prepared for market within robust,
They also are essential measures for the viability and growth of ecosystems in emerging economies.
ICT industry respondents, reflecting steady growth even in weaker economies, are optimistic regarding their 2014 R&d budget.
while capacity, economics and efficiency are drivers for civil aviation requirements. Recent declines in U s. R&d have been the result of reductions in defense R&d
and hence viable economics. Solar is another area where ongoing materials developments for photovoltaic applications (e g.,
The forecast for R&d growth in the chemical and advanced materials industry reflects the improving global economy
The forecast for R&d activities within the chemical and advanced materials industry reflects improvements in the U s. and global economy,
as both material substitution and global competition, in what are often commodity products, requires firms to drive production costs to the lowest level possible.
or output impacts in the economy, the values associated with scientific R&d are smaller than many high-tech industries.
see Sources of U s. Economic growth in a World of Ideas (Jones 2002). ITIF and AAAS have done also important work on this topic.
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