If European Union member states are technologically lagging behind other member countries, especially Eastern European countries, it is important to analyze whether or not public policies contribute to the reduction of this gap. In this respect, our study examines the effect of public innovation policy on technological innovation in Central and Eastern European countries. The estimation of panel data model for 10 countries over the 1998-2013 period show that innovation policy in these countries is not efficient.
This study contributes in the existing literature by showing in another manner the inefficiency of innovation policy in Central and Eastern European countries. It assesses public efforts by considering two periods: before policy implementation and after policy implementation.
Central and Eastern European countries, innovation, R&D, innovation policy