Main objective: Develop a richer understanding how knowledge creation through R&D leads to productivity growth, with entrepreneurship as (one of) the main transmission channels. Main questions: Some main questions can be formulated: - How important is innovation and R&D for productivity growth? - In what way does the internationalisation of R&D affect innovative capacity of countries? - What location factors are most important with regards to private R&D activities? - What are the most significant determinants of the private R&D intensity? - What role does entrepreneurship have in the conversion of knowledge into actual growth? - What is the interlinkage between R&D and entrepreneurship in generating innovation?