International

# Innovation: Data Definitions and Sources

## Scientific articles

2009 data.

This indicator measures the counts of authorship and co-authorship of scientific and engineering articles published in peer-reviewed scientific and technical journals, per million people.

Source: National Science Board, Science and Engineering Indicators 2012.

## Patents by population

2010 data.

Patents by population measures the number of triadic patents families, per million people. Triadic patent families are defined by the OECD as a set of patents taken at the European Patent Office, the Japanese Patent Office, and the United States Patent and Trademark Office to protect the same invention. Only patents applied for in the same set of countries are included in the “family,” eliminating home advantage and the influence of geographical location. In addition, patents in the triadic patent family are usually high-value patents—the patentee will only take on the additional costs and delay related to the extension of the protection to other countries if it is deemed worthwhile.

Source: OECD, Main Science and Technology Indicators. Online database.

## Patents index

2010 data.

The patents index ranks countries by their patents output relative to their economic size. It is the ratio of a country’s share in OECD triadic patent families to its share in global OECD GDP. Triadic patent families are a set of patents filed at these three major patent offices: the European Patent Office (EPO), the Japan Patent Office (JPO) and the United States Patent and Trademark Office (USPTO).

The mathematical formula is:

 PIc = PATc / PATOECD GDPc / GDPOECD

Where,
PIc = the patents index of country “c”
PATc = number of triadic patent families in country “c”
PATOECD = OECD number of triadic patent families
GDPc = GDP in country “c”
GDPOECD = OECD GDP

If a country’s share in OECD triadic patent families matches its relative share in OECD GDP, the country’s patents index would be one. A score greater than one indicates a larger share of patents relative to GDP, and a score less than one indicates a smaller share of patents relative to GDP.

Source: OECD, Main Science and Technology Indicators, OECD.Stats.

## High- and medium-high-technology manufacturing

2009 data for most countries. 2008 data for France, Germany, and Switzerland. 2007 data for Norway and the United Kingdom. 2006 data for Canada. 2005 data for Australia.

This indicator measures the proportion of high- and medium-high-technology manufacturing in gross domestic product (GDP). The OECD uses the International Standard Industrial Classification (ISIC) to define high- and medium-high-technology manufacturing. High-technology industries are defined as: Aircraft and spacecraft (ISIC 353), Pharmaceuticals (ISIC 2423), Office, accounting and computing machinery (ISIC 30), Radio, TV and communications equipment (ISIC 32), and Medical, precision and optical instruments (ISIC 33). Medium-high-technology industries are defined by the OECD as: Electrical machinery and apparatus (ISIC 31), Motor vehicles, trailers and semi-trailers (ISIC 34), Chemicals excluding pharmaceuticals (ISIC 24 excl. 2423), Railroad equipment and transport equipment, n.e.c. (ISIC 352 + 359), Machinery and equipment, n.e.c. (ISIC 29).

Source: OECD, STAN database for industrial analysis. Online database.

## Knowledge-intensive services

2009 data for Austria, Finland, Japan, the Netherlands, Sweden, and the United States. 2008 data for Belgium, Denmark, France, Germany, and Switzerland. 2007 data for Ireland, Norway, and the United Kingdom. 2006 data for Australia and Canada.

This indicator measures the share of knowledge-intensive services in gross domestic product (GDP). The OECD uses the International Standard Industrial Classification (ISIC) to define knowledge-intensive services. They are defined as: Post and telecommunications (ISIC 64), Finance and insurance (ISIC 65-67), and Business activities (except real estate) (ISIC 71-74).

Source: OECD, STAN database for industrial analysis. Online database.

## Export market share: Aerospace

2011 data.

This indicator measures the ratio of a country’s share of 16-country aerospace exports to its share of 16-country total exports.

Source: OECD, Main Science and Technology Indicators. Online database.

## Export market share: Electronics

2011 data.

This indicator measures the ratio of a country’s share of 16-country electronic exports to its share of 16-country total exports.

Source: OECD, Main Science and Technology Indicators. Online database.

## Export market share: Office machinery and computers

2011 data.

This indicator measures the ratio of a country’s share of 16-country office machinery and computer exports to its share of 16-country total exports.

Source: OECD, Main Science and Technology Indicators. Online database.

## Export market share: Pharmaceuticals

2011 data.

This indicator measures the ratio of a country’s share of 16-country pharmaceutical exports to its share of 16-country total exports.

Source: OECD, Main Science and Technology Indicators. Online database.

## Export market share: Instruments

2011 data.

This indicator measures the ratio of a country’s share of 16-country instruments exports to its share of 16-country total exports.

Source: OECD, Main Science and Technology Indicators. Online database.

2007–09 average data.

Cross-border trademarks per population measures the number of cross-border patents, per million people. To capture the “cross-border” aspect for this indictor, we use the number of applications at USPTO except for the following countries: the U.S., Australia, and Canada. For those countries, filings in the Japan Patent Office (JPO) and the European Office for Harmonization in the Internal Market (OHIM) are used. A trademark is a legal protection for a distinctive sign or indicator for a product or service. Because a trademark is often applied to a new product or service, it acts as a proxy for product and marketing innovations. Trademark data are important in that they allow measurement of non-technological innovation and innovations in the services sector, which are not well captured by either research and development or patent data.

Source: OECD, OECD Science, Technology and Industry Scoreboard 2011.

## ICT investment

2009 data for most countries. 2008 data for Austria and Japan. 2007 data for Australia, Denmark, Netherlands, and the United Kingdom. 2004 data for Belgium.

Investment in information and communications technology (ICT) as a percentage of non-residential gross fixed capital formation. ICT investment has three components: IT equipment (computers and related hardware), communications equipment, and software. Software includes acquisition of pre-packaged software, customized software, and software developed in-house.

Source: OECD, Science, Technology and Industry Scoreboard 2011.

## New firm density

2011 data for most countries. 2010 data for Germany. 2009 data for Canada.

The number of newly registered limited liability companies per 1,000 people of working age (15–64).

Source: The World Bank Group, Doing Business.

## Venture capital investment

2009 data.

This indicator measures venture capital (the sum of seed and start-up capital and early development capital) as a share of a country’s GDP. Venture capital is capital provided to young firms with high growth potential.

Source: OECD, Entrepreneurship at a Glance 2011.

## Public R&D spending

2011 data for most countries. 2010 data for Australia, Japan, and Switzerland.

Public (government and higher education) spending on research and development as a percentage of GDP.

Source: OECD.Stats.

2011 data for most countries. 2010 data for Australia and Japan. 2008 data for Switzerland.

Business enterprise spending on research and development as a percentage of GDP.

Source: OECD.Stats.

## Top-cited papers index

2000–08 data.

A country’s share of top-cited 1 per cent of scientific papers divided by that country’s share of total scientific papers.

The top-cited papers index ranks countries by their share of top-cited 1 per cent of scientific papers divided by their share of total scientific papers. The index reflects the overall level of impact associated with research activity in that country, with a higher number suggesting greater impact.

The mathematical formula is:

 TOPc = PAP1c / PAT1w PAPc / PAPw

Where,
TOPc = the top-cited scientific papers index of the country “c”
PAP1c = number of top-cited 1 per cent of scientific papers put out by country “c”
PAP1w = world total of top-cited 1 per cent of scientific papers put out
PAPc = number of scientific papers put out by country “c”
PAPw = world total of scientific papers put out

Therefore, if a country’s share of top-cited 1 per cent of scientific papers matches its relative share in world scientific papers, the country’s top-cited papers index would be one. A score greater than one indicates a larger share of top-cited scientific papers relative to total scientific papers, and a score less than one indicates a smaller share of top-cited scientific papers relative to total scientific papers.

## Patenting firms less than 5 years old

2007–10 data.

The number of firms in a country that are less than five years old that have filed patents at the European Patent Office, at the United States Patent and Trademark Office, or through the Patent Cooperation Treaty. This number is expressed per US\$ billion GDP using purchasing power parities (PPPs). This edition of the report card looks at firms incorporated between 2004 and 2010 that filed patents between 2007 and 2010.

Source: OECD, OECD Science, Technology and Industry Outlook 2012 (Paris: OECD, 2012).

## Ease of entrepreneurship index

2008 data.

The index is calculated as 6 minus the value of the OECD barriers to entrepreneurship index. The barriers to entrepreneurship index ranges from 0 (low barriers) to 6 (high barriers) on barriers to competition, regulatory and administrative opacity, and administrative burdens for creating new firms. Because the ease of entrepreneurship index is a reversal of the barriers to entrepreneurship index, high values imply greater ease of entrepreneurship.

Source: OECD, OECD Science, Technology and Industry Outlook 2012 (Paris: OECD, 2012).

## Connectivity

June 2012 data.

The number of total fixed and wireless broadband subscriptions per 100 people. Because a person can have both a fixed and wireless subscription, the indicator value can be greater than zero.