Guimon, Jose2016-01-142016-01-142014-10https://hdl.handle.net/10986/23655Innovation policy is increasingly conceived as the shared responsibility of national and subnational governments, yet most countries are struggling with multilevel governance. This paper provides an overview of how different countries are dealing with regional innovation policy and of the institutions and tools used for national-regional coordination. The focus is on discussing the policy implications for developing countries, which have decentralized their innovation policies more recently than developed countries, but face more acute challenges with respect to critical mass and institutional capacity. These challenges call for a sequential and cautious approach to decentralizing innovation policy, seeking economies of scale and avoiding wasteful duplication across regions, while introducing methods to ensure that devolution of power is accompanied by capacity building in regional governments. Governments of developing countries are also advised to be cautious when using a regional innovation policy approach as a tool to reduce cross-regional income gaps. This is because policy efforts to counterbalance the natural trend toward agglomeration of innovative activities in core regions might lead to inefficient allocation of public funds.en-USCC BY 3.0 IGOABSORPTIVE CAPACITYADMINISTRATIVE CAPACITIESADVANCED REGIONSAPPROACH TO INNOVATIONAUTHORITYAUTOMOBILEBALANCED REGIONAL DEVELOPMENTBASIC RESEARCHBIOTECHNOLOGYBUDGET ALLOCATIONBUREAUCRACYBUSINESS ASSOCIATIONSBUSINESS INNOVATIONCAPABILITIESCAPACITY BUILDINGCAPACITY-BUILDINGCENTRAL GOVERNMENTCENTRAL GOVERNMENTSCOLLECTIVE LEARNINGCOMPETITIVE ADVANTAGESCOMPETITIVE RESEARCHCOMPETITIVENESSCOMPUTER HARDWARECONSENSUSCONSTITUENCIESCOUNCILSDECENTRALIZATIONDECISION-MAKINGDECISION-MAKING POWERDISPARITIES BETWEEN REGIONSDISTRICTSDIVISION OF POWERSE-MAILECONOMIC COOPERATIONECONOMIC DEVELOPMENTELECTRICITYEXPENDITUREFEDERAL GOVERNMENTFINANCIAL CONTRIBUTIONSFINANCIAL RESOURCESFISCAL DECENTRALIZATIONGEOGRAPHIC REGIONSGLOBAL ECONOMYGLOBALIZATIONGOVERNMENT CONTROLSGOVERNMENT EFFORTSGOVERNMENT EVALUATIONGOVERNMENT INTERVENTIONHUMAN CAPITALICTIMPLEMENTING AGENCIESINCOME INEQUALITIESINCOME INEQUALITYINDUSTRIAL POLICYINDUSTRIAL PRODUCTIONINFORMATION SHARINGINFRASTRUCTURE DEVELOPMENTINNOVATION CAPACITYINNOVATION OUTPUTSINNOVATION PERFORMANCEINNOVATION PROGRAMSINNOVATION STRATEGYINNOVATIVE ACTIVITIESINNOVATIVE EFFORTSINNOVATIVE FIRMSINNOVATIVE PERFORMANCEINSTALLATIONSINSTITUTIONINSTITUTIONAL CAPACITYINSTITUTIONAL FRAMEWORKINSTITUTIONAL FRAMEWORKSINTELLECTUAL PROPERTYINTELLECTUAL PROPERTY RIGHTSINTERACTIVE LEARNINGINTERREGIONAL COOPERATIONKNOWLEDGE ECONOMYKNOWLEDGE FRONTIERKNOWLEDGE GENERATIONKNOWLEDGE INFRASTRUCTUREKNOWLEDGE PRODUCTIONLAGGING REGIONSLEGISLATIONLEVELS OF GOVERNMENTLIFELONG LEARNINGMANUFACTURINGMARKET DEMANDSMARKET ECONOMYMODERN TECHNOLOGIESMUNICIPAL GOVERNMENTSNATIONAL GOVERNMENTSNATIONAL INNOVATION SYSTEMSNATIONAL LEVELNATIONAL POLICYNATIONAL­REGIONAL POLICYNATIONSNECESSARY SKILLSNETWORKINGNETWORKSONE-STOP SHOPSPERIPHERAL REGIONSPOORER REGIONSPOVERTY INDICATORSPRIVATE PARTNERSHIPSPRIVATE SECTORPRIVATE SECTOR DEVELOPMENTPROTOTYPEPUBLIC AGENCIESPUBLIC EXPENDITUREPUBLIC FUNDSPUBLIC POLICIESPUBLIC POLICYPUBLIC RESOURCESPUBLIC SECTORPUBLIC SUPPORTRAMP;DREGIONAL APPROACHREGIONAL AUTHORITIESREGIONAL AUTONOMYREGIONAL CAPACITYREGIONAL CLUSTERREGIONAL CLUSTERSREGIONAL COLLABORATIONREGIONAL COMPETITIONREGIONAL CONTEXTREGIONAL COORDINATIONREGIONAL DEVELOPMENTREGIONAL DEVELOPMENT AGENCIESREGIONAL DEVELOPMENT INITIATIVESREGIONAL DEVELOPMENT PLANSREGIONAL DISPARITIESREGIONAL DIVERGENCEREGIONAL DIVERSITYREGIONAL FINANCINGREGIONAL FUNDREGIONAL FUNDSREGIONAL GOVERNMENTREGIONAL GOVERNMENTSREGIONAL GROWTHREGIONAL INCOMEREGIONAL INEQUALITIESREGIONAL INITIATIVESREGIONAL INNOVATIONREGIONAL INNOVATION POLICIESREGIONAL INNOVATION POLICYREGIONAL INNOVATION STRATEGIESREGIONAL INNOVATION SYSTEMREGIONAL INNOVATION SYSTEMSREGIONAL INSTITUTIONSREGIONAL INTEGRATIONREGIONAL INTERVENTIONREGIONAL INVESTMENTREGIONAL INVESTMENTSREGIONAL LEVELREGIONAL LEVELSREGIONAL MUNICIPALITIESREGIONAL OFFICESREGIONAL PERFORMANCEREGIONAL POLICIESREGIONAL POLICYREGIONAL POLICY OBJECTIVESREGIONAL POWERREGIONAL PRACTICESREGIONAL PROGRAMSREGIONAL PROJECTSREGIONAL REPRESENTATIVESREGIONAL RESEARCHREGIONAL STRATEGIESREGIONAL STUDIESREGIONAL SYSTEMSREGIONALIZATIONRESEARCH INFRASTRUCTURERESULTRESULTSREVENUE CAPACITYROYALTYRURAL DEVELOPMENTSTANDARDIZATIONSTRUCTURESSUSTAINABLE GROWTHTARGETSTAX EXEMPTIONSTAX INCENTIVESTAXATIONTECHNICAL ASSISTANCETECHNICAL TRAININGTECHNOLOGICAL DEVELOPMENTTECHNOLOGICAL INNOVATIONTECHNOLOGY INFRASTRUCTURETECHNOLOGY PARKSTECHNOLOGY TRANSFERTRANSACTIONUNDERDEVELOPED REGIONSBriefWorld Bank10.1596/23655