D'Agostino G. and Scarlato M. Innovation, socio-institutional conditions and economic growth in the Italian regions, Regional Studies. An explanatory investigation is carried out into the relationship between social and institutional contextual factors and economic growth in the Italian regions. A three-sector semi-endogenous growth model with negative externalities related to the social and institutional variables affecting the innovative capacity of regional economic systems is constructed. The empirical investigation confirms the presence of non-linearities that depend on the socio-institutional conditions constituting constraints on the translation of innovation into economic growth. The paper suggests that policies targeting the enhancement of local socio-institutional conditions have major repercussions for the innovation capacity and economic growth of the lagging southern regions.
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d’Agostino et al. (2013) studied this question.
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