The number of private Danish companies investing in and engaging in research and development (R&D) is decreasing, and R&D investments are becoming concentrated in fewer and larger companies. Particularly, small companies with between 10 and 49 employees are investing less. This indicates that Denmark is losing the broad base of companies needed to deliver knowledge-based innovation. This comes at a time of increasing need for innovative solutions in areas such as climate change and security. Companies' innovation is supported by a wide range of public instruments. In a new background report, DFiR has mapped out the frequently used innovation policy instruments in Denmark, the international evidence of their effectiveness, and the political goals set for Danish innovation policy over the past three years.
The background report and the brief are published as part of the DFiR project "Innovative SMEs - Rich and Resilient Societies Have smart Businesses," which is part of DFiR's three-year analysis program Knowledge-Based Innovation, examining the scope for future political efforts for knowledge-based innovation.