The role of fiscal policy in structuring an innovative economy policy: A analyses on R&D expenditure

This study examines the impact of fiscal policy on stimulating the innovative economy. The research was conducted to assess the impact of public R&D expenditures on the innovative economy and to understand the role of fiscal policy in this area. The basic concepts and evolution of the innovative economy are examined, the role of public policies and economic instruments of the state in innovation is explained, and an econometric analysis is carried out to quantitatively determine how fiscal policy can influence the development of innovation. The econometric analysis, which is at the core of the analysis, was carried out using a large data set of 34 OECD countries covering the years 2000-2021 and including 715 variables in total. u analysis revealed that there is a positive relationship between R&D expenditures and the number of patents. During the analysis process, different panel data regression models were used to analyze the results from a more comprehensive perspective. These results emphasize that the increase in economic size and public R&D expenditures have an increasing effect on innovation and patent production. This study emphasizes the importance of public policies, especially fiscal policy, to support and guide innovationoriented economic transformation. Keywords: Innovative Economy, Innovation, Fiscal Policy.