Emerging Tech

The Effect Of National Culture On Countries? Innovation Efficiency

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Executive Summary

This paper contributes to the link between social and cultural factors with countries innovation performance. By measuring 25 countries' innovation efficiency with the use of conditional and unconditional DEA (Data Envelopment Analysis) frontiers the paper provides empirical evidence of the effect of culture on countries' innovation efficiency. Particularly, conditional and unconditional full frontier models are used alongside with bootstrap techniques in order to determine the effect of national culture on countries' innovation performance. The paper illustrates how the recent developments in efficiency analysis and statistical inference can be applied when evaluating such issues.

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