Innovation and activities regarding research and development have become ubiquitous topics in economics today. The reason for this lies in the fact that highly innovative economies are the ones reaching the highest level of competitiveness. Additionally, innovations are regarded as the basic lever of socio-economic development of national economies today. Researchers at the Institute of Economics, Zagreb are primarily concerned with innovation at the level of an enterprise, but also with the functioning of innovation systems on a national and regional level. As far as innovation analyses are concerned, the emphasis is placed on the analyses of innovation at the level of enterprises, especially SMEs.
In addition, an important focus of the Institute's research also deals with the analysis of the effects of individual innovation programs, but also with the analysis of the effects of tax reliefs in connection with research and development projects on the overall level of innovation in Croatia. It is important to note that a higher level of innovation is usually present within foreign-owned enterprises when compared to domestic-owned enterprises, which can be explained by the presence of foreign direct investments (FDI) within such enterprises. Our researchers are therefore interested in the effects knowledge transfer exerts over enterprise innovation as well as in the effects knowledge transfer exerts over the productivity of such enterprises in case of foreign direct investments.
Finally, it is a well-known fact that an increased level of innovation also depends on the availability of financial means within the national economy. Because of that, researchers at the Institute of Economics, Zagreb regard the topic of the availability of financial means and their influence on innovation as highly important, as well as the topic of determinants of innovation financing on a macro and micro level.