Education and Invention

Otto Toivanen, Lotta Väänänen
2016 Review of Economics and Statistics  
Education and Invention* Modern growth theory puts invention on the center stage. Inventions are created by individuals, raising the question: can we increase number of inventors? To answer this question, we study the causal effect of M.Sc. engineering education on invention, using data on U.S. patents' Finnish inventors and the distance to the nearest technical university as an instrument. We find a positive effect of engineering education on the propensity to patent, and a negative OLS bias.
more » ... ur counterfactual calculation suggests that establishing 3 new technical universities resulted in a 20% increase in the number of USPTO patents by Finnish inventors. JEL Classification: I21, J24 and O31
doi:10.1162/rest_a_00520 fatcat:etym7ycqvfc2bnxiis36asalmm