Business R&D in Western Sweden 2020
BUSINESS R&D IN WESTERN SWEDEN 2020 33% of Sweden’s business R&D expenditure SEK 41BN business R&D expenditure 4.5% Business R&D as a share of GRP Sweden’s most concentrated region for innovation with 35 testbeds Sweden is a country that boasts considerable capacity for conducting research and development (R&D). Year after year, Sweden finishes near the top in surveys looking at how much money countries invest in research and development in relation to their GDP. In 2019, Sweden’s total R&D as a share of GDP stood at 3.4 percent, which corresponds to approximately SEK 171 billion. In terms of business R&D expenditure alone, the share of GDP was just over 2.4 percent (approximately SEK 123 billion). In international measurements conducted by the OECD, among others, this means that Sweden has the world’s third largest R&D budget in relation to its GDP.1 This is very impressive for a small, open economy like Sweden. What might Sweden’s R&D capacity entail? The empirical stream of innovation studies often analyses the relationship between R&D and innovation. Broadly speaking, the conclusions show that the more R&D companies conduct, the greater the likelihood of innovations being created and demanded on global markets, and of the companies’ productivity increasing. This in turn generates increased value and frees up resources, which can be reallocated to new jobs and technologies. The apple is not falling far from the tree in this respect, as Sweden’s innovation potential also appears to be exceptional in several international surveys by bodies such as the European Commission, WIPO and the OECD.2 So where is Sweden’s R&D conducted in companies and where are the country’s innovations and market-leading competitive products, services and processes created? In 2019, Västra Götaland’s share of the country’s population and companies stood at approximately 17 percent.
[Show full text]