The Role of Human Capital and Research and Development in Promoting Local Innovation in Vietnam

This study investigates the influence of human capital and research and development (R&D) on local-level innovation outputs in Vietnam. Using data from the 2024 Provincial Innovation Index, the study applies multivariate linear regression models to assess the effects of human capital and R&D on provincial innovation performance. The results show that the density of full-time research staff is the most significant factor affecting local innovation outputs. Conversely, variables related to public budget spending on education and R&D do not have statistically significant effects in the models. The findings also highlight notable regional disparities: provinces in the Northern Mountainous Region and the North Central and Central Coastal Region exhibit considerably lower innovation outputs than those in the Southeast Region. These outcomes emphasise the need for regionally tailored innovation policies to reduce development gaps and enhance R&D capacity in lagging areas.