Innovation as a Driver of economic growth: An empirical Comparison between China and India

This study focuses on the relationship between patent application and economic development in two most important global economies China and India. We have used time series data and have applied ARDL bound testing approach for finding out a long run relationship. The outputs show that there must be a long run relationship between patent registration and economic development. We can conclude out of this those innovations (patent) might be a very vital factor for economic development in China and India. Ithas also helped us to draw some policies’ recommendations.