Registry Detail

2632

Other

14/06/2007 15:54:00

A definition for high-, medium- and low-tech industries has been developed some years ago based on ISIC Rev.2. Have these definitions been updated for ISIC Rev.3 or Rev.3.1?

As you point out, the last definition of a technology classification based on ISIC Rev.2 is described in the STI Working Paper 1997/2 "Revision of the High - Technology Sector and Product Classification" www.olis.oecd.org/olis/1997doc.nsf/LinkTo/OCDE-GD(97)216. This introduced four categories: high-, medium-high, medium-low and low technology based on analyses of direct R&D intensity and indirect R&D intensity (i.e R&D embodied in intermediate and investment goods, both domestically produced and imported) by industry within selected OECD countries. A high-tech product list, based on SITC Rev.3 was also introduced. With the advent of ISIC Rev.3 this work was updated to produce a new classification first shown in the 2001 edition of OECD's Science, Technology and Industry Scoreboard and used at OECD since: www1.oecd.org/publications/e-book/92-2001-04-1-2987/annex-1.htm Updated calculations were shown in the 2003 edition (although the classification didn't change): www1.oecd.org/publications/e-book/92-2003-04-1-7294/annex-1.htm For an example of use of this classification see section F05 of 2005 Scoreboard: www.sourceoecd.org/vl=1253207/cl=24/nw=1/rpsv/scoreboard/f05.htm However, this classification is based only on direct R&D intensity. Due to the scarcity of ISIC Rev.3 (SNA93) investment flow matrices for OECD countries, we were unable to calculate indirect R&D embodied in investment goods. Note though, that the 1997 paper showed that while adding indirect R&D intensity changed the ranking of individual industries it did not alter the composition of the technology groups compared to using direct R&D intensities only. Eurostat also uses this classification for manufactures. For example see page 7. of http://www.eu-datashop.de/en/downloads/sif/ns_03_10.pdf#search='guido%20strack%20eurostat%20high%20technology' This paper also describes Eurostat's definition of Knowledge Intensive Services (KIS) based on 2-digit NACE. At OECD we currently use a narrower definition than Eurostat (ISICs 64, 65-67, 71-74) - see F05 of 2005 Scoreboard (above). Formally classifying services requires more work. We've made some sporadic attempts but the data requirements are quite heavy - R&D intensities are not much help for services. Instead, we have to appeal to other indicators such as skills intensity (based on industry x occupation matrices) and technology embodied in investment or investment in ICT goods by industry. A suggested approach is outlined in the attached document. We have not developed a new high-technology product list - however an internationally agreed definition of ICT goods (based on HS 1996 and HS 2002) was developed under the auspices of OECD's Working Party on Indicators for the Information Society (WPIIS) - see pages 88-97 of www.oecd.org/dataoecd/41/12/36177203.pdf