They studied the innovation policies of 56 major countries. They looked at basic scientific R&D; effective science, technology, engineering, and math education; promotion of ICT; technology transfer and commercialization from universities and national research centers; tax incentives for innovation and brain drain policies. They also looked at negative barriers to innovation and trade such as currency or standards manipulation, forced IP transfer, domestic sourcing of production as a condition of market access, export subsidies and inadequate protection of IPRs.
Interestingly they categories these policies into 4 areas:
good: benefit to the country and the world
bad: negative effect on the country or the world
ugly: benefit to the country but harms other countries self-destructive: negative effect on the country but helping the rest of the world