Methodological datasheet: Gross internal expenditure on R&D as percentage of the GDP

Identification

Description

Gross internal expenditure on R&D as percentage of the GDP

Description and source 1 operation code.

R&D statistics - 043201

Description and source 2 operation code.

Economic accounts - 170112

Responsable entity

Eustat

Availability

Year+1

Objectives

The total gross domestic expenditure on research and development comprises: business enterprise expenditure on R&D, higher education expenditure on R&D, government expenditure on R&D and private non-profit sector expenditure on R&D.

The indicator measures the key R&D investments that support future competitiveness and result in higher GDP.

R&D expenditure represents one of the major drivers of economic growth in a knowledge-based economy. As such, trends in the R&D expenditure indicator provide key indications of the future competitiveness and wealth of the EU.

Research and development spending is essential for making the transition to a knowledge-based economy as well as for improving production technologies and stimulating growth. Recognising the benefits of R&D for growth and being aware of the rapidly widening gap between Europe’s R&D effort and that of the principal partners of the EU in the world, the Barcelona European Council (March 2003) set the EU a target of increasing R&D expenditure to 3 per cent of GDP by 2010, two thirds of which should come from the business enterprise sector.

Investing 3% of GDP is one of the headline targets in the new Europe 2020 strategy for developing an economy based on knowledge and innovation.

Sphere

Population:

All companies, centres depending on public entities and universities involved in R&D

Geographical Sphere:

Basque Country

Time period:

Annual

Concepts and Definitions

This indicator covers all expenditure on R&D expressed as a percentage of Gross Domestic Product.

The indicator is obtained as a quotient and expressed as a percentage.

Numerator:

Total Internal expenditure on R&D: all spending on implementing R&D actions during the reference year, in the Basque Country, irrespective of the source of the funds.

R&D: all creative activities performed systematically to increase the volume of knowledge, including the knowledge of people, culture and society and the use of those to derive new applications. It includes basic research, applied research and technological development.

Denominator:

GDP: Gross Domestic Product is the monetary value of all final goods and services that are produced in an economy during the reference year.

Codes and nomenclatures

Not applicable

Quality

http://epp.eurostat.ec.europa.eu/portal/page/portal/sdi/files/QP%20Gross%20domestic%20expenditure%20on%20RD.pdf

Further Information

Eurostat - Tables, Graphs and Maps Interface (TGM) table