The New Geography of Global Innovation by Global Markets Institute – Goldman Sachs

While the United States and Japan remain leaders in innovation, increased competition from growth markets, notably China, suggests a changing landscape. Research and development (R&D) spending in Asia surpassed EU levels in 2005, and is likely to overtake US levels in the next five years, thanks primarily to striking growth in R&D investment in China. R&D investment is driven largely by the corporate sector, which finances more than two-thirds of total R&D spending in many countries.

Read here the Goldman Sachs’s study.