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The observed level of internationalization of inventive activities, while being rather low, has steadily increased over time.
This paper aims at contributing to the literature by analyzing how direct academic involvement affects the output of inventive activities of research teams with different organizational backgrounds.
Our goal is to gain insights into the influence of this policy mix on the intensity and organization of inventive activities for wind power and photovoltaics in Germany since the 1980s.
According to Edison, in fact, "Dollars and science were so much mixed up" in his career that it was sometimes hard to separate his inventive activities from the continual stream of commercial ventures in which he involved himself.
This first step nevertheless presents a limitation; it doesn't help project leaders to properly estimate the incidences of their decisions when engaging inventive activities to solve a specific problem.
Even at the best performing universities, disclosure of commercializable scientific results to the technology transfer office and willingness to participate in commercialization depend on the individuals' motivations and intention (Shane 2004) despite their obligation to inventive activities.
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We conclude that this evidence supports Schumpeter by finding higher returns to innovation in less than fully competitive markets and contradicts Arrow [Arrow, K., 1962. Economic welfare and the allocation of resources for invention. In: Nelson, R. (Ed)., The Rate and Direction of Inventive Activity.
"The lesson is important: price stimulates inventive activity.
The Rate and Direction of Inventive Activity: Economic and Social Factors.
Hence purely competitive provision of inventive activity is not possible.
Research funding is known to affect the rate and direction of scientific and inventive activity.
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