The Impact of Technological Capabilities on Invention: An Investigation Based on Country Responsiveness Scores

This study explores the impact of “technological capabilities” (TCs) on invention (measured by “patenting intensity”) in a dataset of 42 emerging and advanced countries observed over 13 years (1995-2007). By computing country responsiveness scores we are able to: (i) rank countries according to their inventive responsiveness; (ii) detect more influential TCs factors; (iii) test the presence of increasing/decreasing patenting returns to TCs. Results show an inverted-U relation between invention responsiveness and TCs intensity. We conclude that self-reinforcing mechanisms characterize the early stage of TCs accumulation (increasing returns), and weakening mechanisms higher levels of TCs intensity (decreasing returns). Findings are widely discussed.