It is widely accepted that innovation is an essential component of strategy for knowledge-based firms and that it is one of the main drivers of economic growth in industrial countries. Hence, a better understanding of the antecedents and consequences of innovation in the public and the private sector is needed to develop sound innovation policy measures and to derive implications for business strategies.

The course “Economics of Innovation” is based on two lectures. The aim of the first lecture “Introduction to Economics of Innovation” is to introduce students to the economic analysis of innovation processes. It deals with market failures in the innovation process, innovation incentives of firms in different markets, the effects of innovations on market structure, and intellectual property. The second lecture “Advanced Economics of Innovation” focuses on analyzing specific aspects of the innovation processes.