EU industrial structure - EU Bookshop - Europa

EU industrial structure - EU Bookshop - Europa EU industrial structure - EU Bookshop - Europa

bookshop.europa.eu
from bookshop.europa.eu More from this publisher
05.06.2013 Views

EU industrial structure 2011 — Trends and Performance III.3.5.1 R&D In 2007, R&D represented 1.85 % of EU GDP in comparison with 2.67 % in the US, the gap mainly explained by private investment in R&D. Looking at the sectoral allocation and not only at the overall amount of R&D injected in the respective economies brings additional insight into R&D intensity differences. To analyse R&D expenditure, an aggregate was formed (an EU sample of 17 countries) representing more than 80 % of total R&D expenditure in the EU. The different graphs focus on the gross domestic expenditure on R&D (GERD) financed by industry; they do not reflect the sectoral R&D effort by 80 governments. In order to estimate and compare the intensity of innovation efforts in different sectors, R&D expenditures were divided by value added generated in the sector. Among the more R&D intensive sectors, there is only one sector where the EU significantly outperforms the US: chemicals. Certain sectors may contribute to a lesser extent to the overall innovation effort because of their small size. Nonetheless, they may still be very R&D intensive compared to the output generated in the sector. One illustration is the office, accounting and computing machinery sector, which represents less than 1 % of total value added in the EU in 2006 but has one of the highest R&D intensities, as high as 30 % of value added, cf. Figure III.18. Figure III.18: EU and US R&D expenditure as shares of value added in sectors in 2006 (%) Radio, TV & communic. eq. Pharmaceuticals Other transport eq. Motor vehicles Scientic and other instruments Oce machinery Chemicals Total manufacturing Machinery nec Electrical machinery Rubber and plastics Rened petroleum Basic metals Non-metallic mineral products Food, beverages and tobacco Textiles, leather and footwear Other manufacturing Metal products Wood, paper, printing, publishing Electricity, gas and water supply Total services Construction EU US 0 5 10 15 20 25 30 35 40 45 50 Note: The EU is represented by 17 countries: Austria, Belgium, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Netherlands, Poland, Portugal, Spain, Sweden and the UK. The industries are classified according to ISIC Rev. 3.1. Source: own calculations using OECD data.

In certain sectors an increase in EU R&D expenditure over time may be a sign of catch‑up. Some manufacturing sectors that exhibit above average R&D intensity nonetheless saw their R&D intensity increase between 1997 and 2007. This is the case Chapter III — Drivers of Sector Growth and Competitiveness for Radio, TV and communication equipment, pharmaceuticals and motor vehicles. Conversely, R&D intensity decreased during 1997‑2006 in other transport equipment and office, accounting and computers, cf. Figure III.19. Figure III.19: EU R&D expenditure as shares of value added in sectors in 1997 and 2006 (%) Radio, TV & communic. eq. Pharmaceuticals Other transport eq. Motorvehicles Scientic and other instruments Oce machinery Chemicals Total manufacturing Machinery nec Electrical machinery Rubber and plastics Rened petroleum Basic metals Non-metallic mineral products Food, beverages and tobacco Textiles, leather and footwear Manufacturing n.e.c. Metal products Wood, paper, printing, publishing Electricity, gas and water supply Total services Construction 2006 1997 0 5 10 15 20 25 30 35 Note: The EU is represented by 14 countries: Austria, Czech Republic, Denmark, Germany, Greece, Hungary, Ireland, Italy, Netherlands, Poland, Portugal, Slovak Republic, Slovenia, Spain. The industries are classified according to ISIC Rev. 3.1. Source: own calculations using OECD data. III.3.5.2 PATEnTS Patent statistics are used to calculate indicators for the output side of knowledge production and, despite the drawbacks of this indicator, 52 the information is of interest. Various aspects make patents particularly useful as a proxy 52 Griliches (1990) discusses a number of issues related to patents, including the advantages and drawbacks. See also Pavitt (1985), Silverman (2002) and Griliches (1984). 81

<strong>EU</strong> <strong>industrial</strong> <strong>structure</strong> 2011 — Trends and Performance<br />

III.3.5.1 R&D<br />

In 2007, R&D represented 1.85 % of <strong>EU</strong> GDP in comparison<br />

with 2.67 % in the US, the gap mainly explained by private<br />

investment in R&D. Looking at the sectoral allocation<br />

and not only at the overall amount of R&D injected in the<br />

respective economies brings additional insight into R&D<br />

intensity differences.<br />

To analyse R&D expenditure, an aggregate was formed (an<br />

<strong>EU</strong> sample of 17 countries) representing more than 80 % of<br />

total R&D expenditure in the <strong>EU</strong>. The different graphs focus<br />

on the gross domestic expenditure on R&D (GERD) financed<br />

by industry; they do not reflect the sectoral R&D effort by<br />

80<br />

governments. In order to estimate and compare the intensity<br />

of innovation efforts in different sectors, R&D expenditures<br />

were divided by value added generated in the sector. Among<br />

the more R&D intensive sectors, there is only one sector<br />

where the <strong>EU</strong> significantly outperforms the US: chemicals.<br />

Certain sectors may contribute to a lesser extent to the<br />

overall innovation effort because of their small size.<br />

Nonetheless, they may still be very R&D intensive compared<br />

to the output generated in the sector. One illustration is the<br />

office, accounting and computing machinery sector, which<br />

represents less than 1 % of total value added in the <strong>EU</strong><br />

in 2006 but has one of the highest R&D intensities, as high<br />

as 30 % of value added, cf. Figure III.18.<br />

Figure III.18: <strong>EU</strong> and US R&D expenditure as shares of value added in sectors in 2006 (%)<br />

Radio, TV & communic. eq.<br />

Pharmaceuticals<br />

Other transport eq.<br />

Motor vehicles<br />

Scientic and<br />

other instruments<br />

Oce machinery<br />

Chemicals<br />

Total manufacturing<br />

Machinery nec<br />

Electrical machinery<br />

Rubber and plastics<br />

Rened petroleum<br />

Basic metals<br />

Non-metallic mineral<br />

products<br />

Food, beverages<br />

and tobacco<br />

Textiles, leather<br />

and footwear<br />

Other manufacturing<br />

Metal products<br />

Wood, paper, printing,<br />

publishing<br />

Electricity, gas<br />

and water supply<br />

Total services<br />

Construction<br />

<strong>EU</strong> US<br />

0 5 10 15 20 25 30 35 40 45 50<br />

Note: The <strong>EU</strong> is represented by 17 countries: Austria, Belgium, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary,<br />

Ireland, Italy, Netherlands, Poland, Portugal, Spain, Sweden and the UK. The industries are classified according to ISIC Rev. 3.1.<br />

Source: own calculations using OECD data.

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!