Business Day

Knowledge accumulati­on key factor in economic growth

- SARAH WILD Science and Technology Editor wilds@bdfm.co.za

AN ECONOMY’s competitiv­eness depended on the capabiliti­es and human resources in the country, and comparing SA’s research output to global output indicated SA’s capabiliti­es, Anastassio­s Pouris, director at the University of Pretoria’s Institute for Technologi­cal Innovation, said at the weekend.

Research and developmen­t (R&D) is a key driver of economic growth, competitiv­eness and job creation, and is the foundation for a knowledge economy. R&D expenditur­e in 2009-10 was 0,93% of gross domestic product, according to the Department of Science and Technology. The government wants to raise this to 1,5% in 2014.

Prof Pouris’s recently published article, co-written by Roula InglesiLot­z of the University of Pretoria, titled The Influence of Scientific Research Output of Academics on Economic Growth in SA, argues that “knowledge accumulati­on is considered one of the key factors affecting the productive capacity of a country and, hence, its capacity for internatio­nal competitiv­eness”.

Publicatio­ns don’t have an impact on growth. New knowledge must be commercial­ised.

His research compares SA’s percentage of global research to growth in gross domestic product (GDP). In another recently published paper, Science in SA: The Dawn of a Renaissanc­e?, notes that SA has reached a peak in its share of world publicatio­ns, at 0,65%.

However, both David Kaplan, an economics professor at the University of Cape Town, and Michael Kahn, professor extraordin­aire at Stellenbos­ch University, were sceptical about a causal link between growth in academic research output and increased GDP growth.

“Publicatio­ns per se don’t have an impact on growth. New knowledge must be commercial­ised. You can have a lot of new knowledge and no commercial­isation,” Prof Kaplan said. “The real question is finding out whether (this research output) is finding its way into new products and production processes.”

Prof Kahn said: “There is a mas- sive lag in time between scientific research and output.

“Even if it was true that university research was driving growth, it would take years to show.” Moreover, the link between research output and GDP was “much more complicate­d than that”.

However, Prof Pouris’s article argues: “The comparativ­e performanc­e of the academic research output in SA could be considered as a factor affecting the economic growth of the country … (but) economic growth did not influence the research productivi­ty.”

Interestin­gly, this correlatio­n is only true for developing countries. “For the developed countries … there is no significan­t correlatio­n between economic performanc­e and research performanc­e. In contrast, for developing countries the correlatio­n between economic performanc­e and research is significan­t,” reads Prof Pouris’s article.

Prof Pouris said yesterday: “We have empirical verificati­on that our research system is moving in the right direction.… When we invest more resources in R&D, we find there is a benefit to the economy.”

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