Impact of innovations on the economic advancement of Azerbaijan

Economic and Social Development: Book of Proceedings; Varazdin, Croatia, Baku, Azerbaijan, 18 - 19 June 2020, pp.680-687, (Full Text)

ABSTRACT

This research article attempts to identify the significance of innovations and reviews the key

factors behind the innovation-driven development of Azerbaijan's economy. It overviews the

major ongoing trends in the advanced economies and justifies the need for comprehensive

macroeconomic governance and increase of investment flow. This governance features an

integrated innovative approach benefiting from scientific and technological advance. The

above defines relevance and importance of innovations at the current phase of social and

economic development of Azerbaijan. The methodology is well wired to fundamental studies

and researches carried out by the United Nations Organization, the World Health

Organization, the World Intellectual Property Organization (WIPO), Cornell University, and

INSEAD Research Institute. This study presents, inter alia, outcomes, analyzes innovative

performance in industrial production, and identifies available resources and conditions for

innovations in Azerbaijan, the neighboring countries, and global leaders in innovative

development. The article looks into economic, production and other factors governing

innovative development in Azerbaijan. The technological structure of the industry has been

scrutinized based on the theory of long waves authored by N. Kondratyev. The structure depicts

the country's economy as mixed. The performances of the country's high- and medium-tech

production, hi-tech re-export, and ICT service export have been compared with those in the

neighboring countries. The findings, propositions and measures proposed in this paper are seen

applicable in monetary, investment and fiscal policies, short- and medium-term planning and

forecasting, both micro- and macroeconomic. The findings and propositions adduced are

applicable to monitor innovative development of Azerbaijan's economy and forecast a short-,

medium- and long-term perspective.

Keywords: Cycles, Factors, Innovations