Do economic performance and innovation have a relationship? Evidence from Operation Groups in the Italian agri-food sector
This study aims to investigate the potential mutual interdependence between an environment that fosters and encourages innovation and the economic performance of agricultural businesses operating in the sector. Specifically, it seeks to determine whether the economic performance of farms in regions...
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| Format: | Article |
| Language: | English |
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Firenze University Press
2025-06-01
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| Series: | Bio-based and Applied Economics |
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| Online Access: | https://oaj.fupress.net/index.php/bae/article/view/16801 |
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| author | Francesco Mazzulla Meri Raggi |
| author_facet | Francesco Mazzulla Meri Raggi |
| author_sort | Francesco Mazzulla |
| collection | DOAJ |
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This study aims to investigate the potential mutual interdependence between an environment that fosters and encourages innovation and the economic performance of agricultural businesses operating in the sector. Specifically, it seeks to determine whether the economic performance of farms in regions with established Operational Groups (OG) is better than that of farms located in regions where OGs have not yet been implemented, using the European Innovation Partnership for Agricultural Productivity and Sustainability (EIP-AGRI).
We combine data on OG’s collected from the Innovarurale website, with financial information from the ORBIS database for the period 2013-2022, to assess farm performance. Our estimation strategy employs three staggered difference-in-differences (DID) models and an event-study to validate the parallel trends assumption.
The results show a positive association between the presence of OGs in a region and an improved economic performance. Our findings suggest that the diffusion of innovation tends to be related to the characteristics of the local economic environment, which should be a critical factor in future policy discussions.
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| format | Article |
| id | doaj-art-fe02b2fece114b97ad2b96dfd584615e |
| institution | OA Journals |
| issn | 2280-6180 2280-6172 |
| language | English |
| publishDate | 2025-06-01 |
| publisher | Firenze University Press |
| record_format | Article |
| series | Bio-based and Applied Economics |
| spelling | doaj-art-fe02b2fece114b97ad2b96dfd584615e2025-08-20T02:05:36ZengFirenze University PressBio-based and Applied Economics2280-61802280-61722025-06-0110.36253/bae-16801Do economic performance and innovation have a relationship? Evidence from Operation Groups in the Italian agri-food sectorFrancesco Mazzulla0Meri Raggi1Università di BolognaUniversità di Bologna This study aims to investigate the potential mutual interdependence between an environment that fosters and encourages innovation and the economic performance of agricultural businesses operating in the sector. Specifically, it seeks to determine whether the economic performance of farms in regions with established Operational Groups (OG) is better than that of farms located in regions where OGs have not yet been implemented, using the European Innovation Partnership for Agricultural Productivity and Sustainability (EIP-AGRI). We combine data on OG’s collected from the Innovarurale website, with financial information from the ORBIS database for the period 2013-2022, to assess farm performance. Our estimation strategy employs three staggered difference-in-differences (DID) models and an event-study to validate the parallel trends assumption. The results show a positive association between the presence of OGs in a region and an improved economic performance. Our findings suggest that the diffusion of innovation tends to be related to the characteristics of the local economic environment, which should be a critical factor in future policy discussions. https://oaj.fupress.net/index.php/bae/article/view/16801EIP-AGRIstaggered difference-in-differences modelOperational Groupseconomic performance evaluation |
| spellingShingle | Francesco Mazzulla Meri Raggi Do economic performance and innovation have a relationship? Evidence from Operation Groups in the Italian agri-food sector Bio-based and Applied Economics EIP-AGRI staggered difference-in-differences model Operational Groups economic performance evaluation |
| title | Do economic performance and innovation have a relationship? Evidence from Operation Groups in the Italian agri-food sector |
| title_full | Do economic performance and innovation have a relationship? Evidence from Operation Groups in the Italian agri-food sector |
| title_fullStr | Do economic performance and innovation have a relationship? Evidence from Operation Groups in the Italian agri-food sector |
| title_full_unstemmed | Do economic performance and innovation have a relationship? Evidence from Operation Groups in the Italian agri-food sector |
| title_short | Do economic performance and innovation have a relationship? Evidence from Operation Groups in the Italian agri-food sector |
| title_sort | do economic performance and innovation have a relationship evidence from operation groups in the italian agri food sector |
| topic | EIP-AGRI staggered difference-in-differences model Operational Groups economic performance evaluation |
| url | https://oaj.fupress.net/index.php/bae/article/view/16801 |
| work_keys_str_mv | AT francescomazzulla doeconomicperformanceandinnovationhavearelationshipevidencefromoperationgroupsintheitalianagrifoodsector AT meriraggi doeconomicperformanceandinnovationhavearelationshipevidencefromoperationgroupsintheitalianagrifoodsector |