The Chinese innovation system during economic transition: A scale-independent view

This paper uses scale-independent indicators to explore the Chinese national and regional innovation systems during economic transition. Our perception of an innovation system is frequently informed by conventional indicators based on linear assumptions while actually innovation systems may behave differently. Scale-independent indicators characterize non-linear properties of an innovation system. They can give decision makers deeper insight into the dynamics of innovation systems, and they may lead to more practical public policies [Katz, J. S. (2006). Indicators for complex innovation systems. Research Policy, 35, 893–909].As reported for the European and Canadian innovation systems the Chinese systems exhibited scaling correlations between GERD (Gross Expenditure on Domestic R&D) and GDP (Gross Domestic Product) over time and at points in time. The scaling factors of the correlations tell us that between 1995 and 2005 the Chinese GERD exhibited a strong non-linear tendency to increase with GDP. Furthermore they show that the GERD of the Western region is growing much slower than its GDP as compared with Eastern and Central regions. This observation has policy implications suggesting further improvements need to be made to the research infrastructure and funding of the Western region.The GDP–POP (Population) scaling factor shows that the ‘wealth intensity’ or GDP per capita is increasing much faster than the exponential growth of the Chinese population. In contrast the systemic GDP–POP scaling factor shows that regional development is non-linear. Finally, the paper–GDP and patent–GDP scaling factors tell us that outputs of science and technology for China are growing faster than economic growth. The systemic paper–GDP and patent–GDP scaling factors show that the growth rates are uneven across the provinces.