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The Global Innovation Index 2012

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44<br />

THE GLOBAL INNOVATION INDEX <strong>2012</strong> 1: <strong>The</strong> GII Conceptual Framework<br />

Figure 1: Framework of the <strong>Global</strong> <strong>Innovation</strong> <strong>Index</strong> <strong>2012</strong><br />

Institutions<br />

political<br />

environment<br />

regulatory<br />

environment<br />

Business<br />

environment<br />

education by the state. <strong>The</strong> quality<br />

of education is measured through<br />

the results to the Organisation<br />

for Economic Co-operation and<br />

Development (OECD) Programme<br />

for International Student Assessment<br />

(PISA), which examines 15-year-old<br />

students’ performances in reading,<br />

mathematics, and science, as well as<br />

the pupil-teacher ratio.<br />

<strong>The</strong> OECD PISA assessment is<br />

made every three years. <strong>The</strong> 2009<br />

data used in the GII 2011 were, however,<br />

complemented this year with<br />

the addition of scores for eight countries<br />

that underwent the PISA assessment<br />

in 2010: Costa Rica, Georgia,<br />

India (Himachal Pradesh and Tamil<br />

Nadu), Malaysia, Malta, Mauritius,<br />

the Republic of Moldova, and the<br />

Bolivarian Republic of Venezuela<br />

(Miranda).<br />

<strong>Innovation</strong> Input<br />

Sub-<strong>Index</strong><br />

Human<br />

capital and<br />

research Infrastructure<br />

Education<br />

Tertiary<br />

education<br />

research &<br />

development<br />

IcT<br />

General<br />

infrastructure<br />

Ecological<br />

sustainability<br />

<strong>Global</strong> <strong>Innovation</strong> <strong>Index</strong><br />

(average)<br />

<strong>Innovation</strong> Efficiency <strong>Index</strong><br />

(ratio)<br />

Market<br />

sophistication<br />

credit<br />

Investment<br />

Trade &<br />

competition<br />

Business<br />

sophistication<br />

Knowledge<br />

workers<br />

<strong>Innovation</strong><br />

linkages<br />

Knowledge<br />

absorption<br />

Higher education is crucial for<br />

economies to move up the value<br />

chain beyond simple production<br />

processes and products. <strong>The</strong> subpillar<br />

on tertiary education aims at<br />

capturing coverage (tertiary enrolment);<br />

the priority given to the sectors<br />

traditionally associated with<br />

innovation (with a series on the<br />

percentage of tertiary graduates in<br />

science and engineering, manufacturing,<br />

and construction);6 and the<br />

inbound and gross outbound mobility<br />

of tertiary students,7 which play a<br />

crucial role in the exchange of ideas<br />

and skills necessary to innovation.<br />

<strong>The</strong> last sub-pillar, on R&D,<br />

measures the level and quality of<br />

R&D activities, with indicators on<br />

researchers (headcounts), expenditure,<br />

and perceptions of the quality<br />

of scientific and research institutions<br />

(a survey question).<br />

Knowledge and<br />

technology<br />

outputs<br />

Knowledge<br />

creation<br />

Knowledge<br />

impact<br />

Knowledge<br />

diffusion<br />

<strong>Innovation</strong> Output<br />

Sub-<strong>Index</strong><br />

Creative<br />

outputs<br />

creative<br />

intangibles<br />

creative goods<br />

and services<br />

Online<br />

creativity<br />

Infrastructure<br />

In the 2011 GII, the Infrastructure<br />

pillar included three sub-pillars:<br />

Information and communication<br />

technologies (ICT), energy supply,<br />

and infrastructure. In <strong>2012</strong>, the<br />

last two sub-pillars were reshuffled<br />

to render most explicit the importance,<br />

on one hand, of a good general<br />

infrastructure (new sub-pillar<br />

7.2) and on the other hand of ecological<br />

sustainability (new sub-pillar<br />

3.3, enriched with two indicators)<br />

(Table 1c).<br />

A good and ecologically friendly<br />

communication, transport, and<br />

energy infrastructure facilitates the<br />

production and exchange of ideas,<br />

services, and goods and feeds into the<br />

innovation system through increased<br />

productivity and efficiency, lower

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