Research & Development and Higher Education

Abstract

This chapter argues that the way out of the middle-income trap in which the Emerging European Economies (EEE) seem to be stuck is through R&D and innovation with the support of a competitive, high quality, and research intensive higher education sector. Using detailed and extensive data analysis, we show how far they lag behind the more advanced EU countries in these areas, and as contrast, how this creates significant opportunities for economic growth and structural changes that could help these economies and societies navigate out of the trap. We also provide some very specific policy recommendations.