Review article
Regional differences in investment in research and development and productivity in Croatian companies
Valerija Botrić
orcid.org/0000-0001-5482-7490
; The institute of economics, Zagreb, Croatia
Ljiljana Božić
orcid.org/0000-0001-5104-7501
; The institute of economics, Zagreb, Croatia
Tanja Broz
orcid.org/0000-0001-5329-002X
; The institute of economics, Zagreb, Croatia
Abstract
Investments in research and development, as well as in productivity, is a key factor of the overall economic growth. Their scope on regional level can significantly influence the increase and decrease of the future regional differences. This paper provides an analysis of their scope on the county level in Croatia during the period that includes the last economic crisis. By means of applying data obtained from the Croatian financial agency regarding non-financial entrepreneurs, we analyzed data regarding the share of entrepreneurs that invest in research and development based on the total number of entrepreneurs on the county level. The overall factorial productivity on the level of individual entrepreneurs was also econometrically assessed, resulting in data on dynamics of the overall factorial productivity on the level of the respective counties. Both indicators were subsequently observed on county level with four categories observed individually for the four types of entrepreneurs: micro, small, medium and big. Research results indicate that it is possible to identify effects of crisis for both indicators, i.e. that both indicators were connected with the overall negative economy shifts. However, distinctively large negative effects were observed with big entrepreneurs and medium-sized entrepreneurs. Identified shifts in economy point to the lack of convergence mechanisms on county level in terms of analyzed factors of economic growth. Although other growth factors can be decisive too, these findings point to the possibility of further growth of regional differences in Croatia.
Keywords
investment in research and development; overall factorial productivity; regional differences; Croatia
Hrčak ID:
221640
URI
Publication date:
3.12.2018.
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