ECONOMICS OF INNOVATION AND SUSTAINABILITY

The course offers the fundamentals of the economics of innovation and its relationships with the environment. It covers topics related to innovation taxonomies, to the impact of innovation on the economic and environmental performance of firms, regions, and countries; market structures; firm dynamics and strategies, including those aimed at addressing both local and global externalities such as pollution and the climate crisis. Seminal papers and chapters from handbooks and textbooks will be presented and discussed during classes.

None in particular, but a sufficient knowledge of micro and macro is important to take advantage from the course

1) Knowledge and Understanding At the end of the course students will be able: - to understand sources, nature and economic effects of innovation - to understand the relationship between economic activity and the environment - to understand the interplay between innovation and environmental sustainability - to understand the main challenges and policy tools related to sustainable growth -understand new challenges linked to the new geopolitical order 2) Applying knowledge and understanding: The student will be able: - to perform empirical analyses focused on innovation and environmental performance in different contexts; - to analyse the innovation activities employing a varied array of indicators and measures, which are adequate to the investigated contexts; - to identify and interpret environmental policy tools in relation to varying goals and contexts These goals will be achieved by means of class exercises and work group evaluation. 3) Making judgements: We expect students to be able to make judgements upon the validity and effectiveness of the innovation and environmental policies 4) Communications Skills Through classes exercises and work group presentations the students will be able to communicate their ideas, proposals, analysis and critical reasoning. 5) Learning skills The complementarity between the theoretical knowledge and the know-how students accumulate during the class activities and work group allow them to acquire those dynamic capabilities useful for their career.

The course focuses on key areas: - An overview of key concepts and taxonomy to understand innovation and the main relationships between economic activities and the environment. - Growth and employment effects of innovation - Digital and green innovation - Firms’ competitiveness and environmental regulation - Green innovation and climate change - EU Open Strategic Autonomy, European economic security, strategic trade and industrial policies. - a conceptual framework for analyzing how security affetcs economic activity. - the importance of economy-security linkages and spillovers for EU integration process. - the international role of Europe and a new pragmatic EU multilateralism to achieve global public goods

Students will be assessed based on the content of the slides which are based on seminal works (papers and chapters of books) listed below. assessment for non-attending students (versions of the textbooks, chapters, etc.)

The course consists of lectures, interactive sessions and data hands-on sessions. The lecture follows and discuss (in Italian) the content of the readings (even if these maybe in English).

The overall evaluation for the students attending class follows the SMART Luiss model and consists of: 1) an ongoing assessment (based on active participation and on the content and presentation of group work) which accounts for 1/3 of the final grade 2) an oral examination, which accounts for the remaining 2/3. All grades will be on a range from 0 to 30 to which the weights above apply.

In general, a strong interest in the subject. From a master's degree student, we expect: 1) ability to propose a thesis that within scope of the topics presented during the course; 2) ability to conduct quantitative analyses; 3) critical thinking when using data and bibliographical resources.