MEASURING THE UNMEASURABLE - A COUNTRY NON-R-AND-D EXPENDITURE ON PRODUCT AND SERVICE INNOVATION

Knowledge about non-R&D innovation expenditure, such as patenting and licensing, design, trial production, tooling-up, manpower training, ma rket research and investment in fixed assets, is extremely sparse and questions about the latter were very poorly answered in the recent Com munity Innovation Survey (CIS). Using information regarding the qualit y of replies, we reach a tentative national estimate of 1992 innovatio n expenditure for all manufacturing and service industries in the Neth erlands, Expenditure on product-related R&D represents about one quart er of total product (and service) innovation expenditure. Roughly half of the latter consists of investment in fixed assets, the latter bein g more important in services than in manufacturing.