Abstract | How does innovation as a collective (multi-actor) activity shape the distribution of income (namely income inequality) in contemporary capitalist societies? To address this largely under-researched (and thus also under-theorised) question, the present paper develops a novel conceptual model based on a synthesis of the literature on innovation systems, relational inequality theory, and critical realism. Drawing upon a mixed-method, longitudinal case study analysis, it is shown how the organisational strategies of focal actors (e.g. innovative firms, universities, research institutes, and policy organisations) combine with the structural components and capacities of the innovation system under investigation to form seven causal mechanisms of inequality: five inequality-inducing causal mechanisms (i.e. core-periphery competence concentration, dependent income extraction, skill premiums, flexible precarious employment, and absent old-age technological unemployment) and two inequality-reducing causal mechanisms (i.e. inclusive competence building and employment). The findings contribute to a rapidly growing concern with the question of rising inequality within the field of innovation studies, while also having an important policy implication: achieving inclusive growth requires, among other factors, the formation of strategy coalitions among focal actors in innovation systems. |
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