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The recognized importance of innovation for long-run economic growth has raised scholars’ interest in the mechanisms explaining regional innovative performance. In particular, renewed attention has been paid to the role of institutions as a social filter that can foster innovation. By adopting a holistic theoretical approach, the paper adds to this literature by investigating the relationship between the institutional quality and innovation capacity of Italian provinces. The findings show a positive effect associated with the quality of institutions by means of three important channels: government effectiveness, regulatory quality, and voice and accountability.
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D’Ingiullo et al. (2020) studied this question.
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