Credit to innovation generates a wave of prosperity in the economy

 

Today, Brazilian public investments in innovation do not reach 1% of GDP in Brazil. OECD member countries give more public support to innovative companies than Brazil. Mexico, Canada, France, Austria, Finland, Hungary, Netherlands, Slovenia, Italy, Turkey, Spain, Japan, Estonia, Portugal, Czech Republic and Belgium are examples of countries that foster innovation through tax incentives. We need to increase resources in this area so that Brazilian companies are more competitive and can contribute to economic development
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The economist and political scientist Joseph Schumpeter, in 1911, wrote about the Theory of Economic Development, which demonstrates the importance of credit / promotion to the innovative entrepreneur. Schumpeter deals with economic cycles in periods of economic prosperity and recession, common in the process of capitalist development.
 
The author relates periods of prosperity to the innovative entrepreneur who, when creating new products, is imitated by non-innovative entrepreneurs, who invest resources to produce and plagiarize the goods created by the innovative entrepreneur. The relationship between innovation and the creation of new markets initiates an economic change, generating new needs and consumption desires. The importance of credit for innovation is like a wave of capital investments that activates the economy, generates prosperity and increases the level of employment.
 
Development agencies - such as BNDES, FINEP, CNPq and regional agents such as FAPs and development banks - play an important role in fostering innovation in various sectors of the economy, as we live in a dynamic world in which it is necessary to create new ones markets and do it differently.
 
The promotion can be granted through a tax incentive, which frees up the cash flow for the entrepreneur to invest in research. Another way is subsidized credit, with attractive rates, quick access to credit, making real guarantees more flexible so that they are compatible with the era of knowledge, in which workers' minds are intangible assets, which generate greater value for companies and, consequently, for the economy.
 
Another way to foster innovation is through grant notices, both financial and for the development of research and development teams in companies, giving form to research and integrating university and company.
 
In Brazil, little is measured about the impact of fostering innovation, but in previous surveys carried out with companies that received public resources to innovate, the government obtained the return of this incentive in the first year of the program. Companies grew and some began to export, created jobs and improved the benefits offered to their employees, resulting in knowledge-based economic development.
 
For this reason, support for innovation, through government tax incentives, can boost Brazilian companies, making the country more competitive, with the capacity to dazzle new markets, generating economic growth.
 
 
 
* PhD in Engineering and Knowledge Management UFSC - Sandwich Doctorate (QUT / Australia) and PhD in Knowledge Management from the Federal University of Santa Catarina, Jamile Sabatini Marques holds a master's degree in Innovation Management from the École de Mines in St-Étienne, France, a specialist in business management. The director of Innovation and Promotion of ABES (Brazilian Association of Software Companies) built his career acting mainly in the area of management, innovation, development, investment funds and institutional representation. Currently, he also serves as President of the Chamber of Technology and Innovation of FECOMÉRCIO - Federation of Trade in Goods, Services and Tourism of Santa Catarina, Member of the International Journal of Knowledge-Based Development (IJKBD) Council.