Volume 22 No 1 (2024)
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Innovation and economic recession: case of Tunisia
KHADIMALLAH Adel
Abstract
This paper attempts to describe the transitional context of Tunisia, emphasizing the role of innovation in order to overcome the economic recession. Innovation can be found in this context of political instability and economic recession as a tool to overcome these obstacles and find a path toward economic performance. This passage, however, requires tools and resources. We use time series econometrics to analyse the causal relationship between innovation and recessions through the study of the causal relationships between requests for patents and the volume of exports and between the amount of migrant remittances, foreign direct investment and tourism revenue in Tunisia during the period 1970-2014.The number of patent applications adjusts more slowly than does the number of exports. In other words, in the case of Tunisia, the demand for patents has caused the development of exports rather than the other way around.
Keywords
democratic transition, political instability, economic growth, innovation, causal relationship.
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