The Cliometric Study of Innovations

Per definition, cliometric studies of innovations use statistical methods to analyze large quantities of data. That is why historical patent statistics have become the standard measure for innovation. In this chapter, first, the advantages and shortcomings of patent data will be discussed. It will then be shown that the distribution of patents across countries, regions, or inventors is characterized by two salient features: its skewness and its persistence over time. To explain these features, the influence of various supply-side, demand-side, and institutional factors will be elaborated. In particular, the importance of path dependency is highlighted. This chapter will end with a closer look at technological transfer that came along with patent assignments and foreign patenting.