Texto para Discussão, Instituto de Pesquisa Econômica Aplicada (IPEA) 1863
This paper presents a summary and a brief appraisal of innovation policies in Brazil and China, following the changes in the legal system, in governmental programs and also in the institutional environment of innovation policies in both countries, mainly during the last decade. Both countries have similar policy measures and fiscal incentives that are considered to be among the most generous in the world. However, whilst China has managed to structurally change its Science, Technology and Innovation figures in the last two decades, Brazil has not been able to transform its 'scientific boom' into innovation. This may be partly explained by institutional differences regarding their innovation support structure: China has innovation policies that have a clearly defined focus and a bureaucratic structure which stimulates institutional innovations and the dissemination of best practices. In turn, innovation policies are diffuse and biased towards the academic sector in Brazil.