Documents innovation 764 results

"This article considers how climate change will affect potential output – the highest level of production that an economy can sustain over the long run without driving up inflation. Higher temperatures and changing rainfall patterns are likely to negatively affect certain sectors, notably agriculture and tourism, and impair workers' productivity. The green transition involves the reallocation of capital and labour across businesses and sectors. In the long run, the impact on potential output depends on the success of that reallocation and on the rate of progress of green innovation."

"The control of carbon emissions by policymakers poses the corporate challenge of developing an optimal carbon management policy. We provide a unified model that characterizes how firms should optimally manage emissions through production, green investment, and the trading of carbon credits. We show that carbon pricing reduces firms' emissions but also induces firms to tilt towards more immediate yet transient types of green investment—such as abatement as opposed to innovation—as it becomes costlier to comply. Green innovation subsidies mitigate this effect and complement carbon pricing in ensuring innovation-driven sustainability. Perhaps surprisingly, we show that carbon regulation need not reduce firm value."

"This open access book gathers original contributions focused on the transition of the European steel industry to Industry 4.0. It not only investigates how Industry 4.0 can enhance productivity, cost-saving, and sustainability in the steel industry but also helps to comprehend its broad consequences on employment, education and training, human resources, economic resilience and decarbonisation. The content engages with the international debate on Industry 4.0 through the lens of the steel industry from a multidisciplinary perspective. It encourages a scientifically grounded critical approach and includes contributions from humanities and technical disciplines, with a focus on the social dimensions of the phenomenon. This book draws strength from up-to-date international research projects and adopts a strong industry-based perspective, providing a thorough description and analysis of the state of the art of the European steel industry. It also analyzes the trends, outcomes, opportunities, and criticalities arising with the transition to the Industry 4.0 paradigm. The book is primarily based on the results of the European Steel Skills Agenda (ESSA) skills alliance project co-funded by the Erasmus+ programme of the European Union and supported by the European Steel Technology Platform (ESTEP)."

"The impact of climate change on European Union (EU) countries and regions is poised to exhibit considerable diversity, influenced by factors encompassing average temperature, sectoral composition, developmental stages, and adaptation endeavours. The transition towards a more climate-friendly economy demands a well-orchestrated approach to mitigate enduring productivity costs. This shift will have varied implications for businesses, contingent upon their scale, access to financial resources, and capacity for innovation. The formulation of transition policies holds the potential to foster green innovation without displacing other initiatives, yet stringent climate regulations might impede the productivity ascent of pollutant-emitting enterprises. It will thus take time to reap the benefits of innovation. The efficacy of the policy mix is of critical importance in determining the trajectory of success. Market-driven mechanisms exhibit milder distortions compared to non-market-based strategies, though they may not inherently stimulate innovation. Significantly, subsidies earmarked for green research and development (R&D) emerge as a pivotal instrument for fostering innovation, thus constituting a vital component of the policy repertoire during the green transition. The implementation of transition policies will inevitably trigger a substantial reallocation of resources among and within sectors, potentially carrying short-term adverse ramifications. Notably, considerable productivity disparities exist between top and bottom emitters within specific industries. The transition period poses a risk to a substantial proportion of firms and can erode employment opportunities, with a likely decline in new ventures within affected sectors."

"Artificial Intelligence (AI) is revolutionizing every facet of business and life, thanks to the accelerated development of generative AI, which has made the technology widely accessible. For social innovators, the ethical adoption of AI in their business models and/or to streamline their operations represents a unique opportunity to maximize their impact. The social economy represents 7% of global GDP, and generative AI could add between $182 billion and $308 billion in value annually to the sector. How can social innovators better understand, access and deploy this technology?"

"This study examines the effect of various forms of investment expenditure (gross fixed capital formation, R&D and European Structural and Investment Funds) on employment across NUTS2 European regions from 2000 to 2016. We find that the effect of R&D is heavily conditional upon regional characteristics. Only in NUTS2 regions with medium to high levels of innovation is R&D likely to generate employment. Gross fixed capital formation is labour friendly, but less so in highly innovative regions. Accordingly, the more that European regions shift closer to the world's technology frontier, the more that R&D expenditure, rather than investment in physical assets, will be capable of generating positive employment externalities. Amongst European Structural and Investment Funds, we find an especially significant effect for the European Agricultural Fund for Rural Development (in the more developed regions) and the Cohesion Fund.

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"Eco-innovation, which combines innovation and sustainable development, has become an essential instrument to strengthen economic growth and preserve the environment. Considering the eco-innovation index for the EU, we study the convergence of eco-innovation across countries for the period 2012–2021 through the club convergence approach. We evaluate if and to what extent EU countries are converging toward a homogenous eco-innovation dynamic pattern. Our results indicate three clubs of convergence in the overall eco-innovation index, while the number of clusters is higher -four or five- in the five dimensions of the indicator. The analysis of the determinants of clubs in the aggregated index highlights the relevance of GDP per capita and economic openness, while R&D investments, environmental taxation and firm size are non-significant in our study. The results are also discussed within the contexts of convergence of environmental policies and innovation in the EU."

"Generative AI has the potential to transform industries and society, but responsible design and collaboration among stakeholders are crucial.

The "Responsible AI Leadership: A Global Summit on Generative AI" was held in April 2023 to guide experts and policymakers in developing and governing generative AI systems responsibly. Over 100 thought leaders and practitioners participated, discussing key recommendations for responsible development, open innovation, and social progress. These 30 action-oriented recommendations aim to navigate AI complexities and harness its potential ethically. By implementing them, we can shape a more innovative, equitable, and prosperous future while mitigating risks."