Abstract
National innovation capacity is critical in economic development, and continuous innovative activities energize national economic development. National innovation capacity consists of multiple sub-systems. Therefore, by different dimensions, this study observes national innovation capacity and explores the effect on national economic development and stability. Panel data from 52 countries demonstrate that S&T capacity, financial capacity, social capacity and governance will significantly and positively influence resilience of economy. According to researches, it is necessary to enhance economic development and stability by increase of national innovation capacity. This study attempts to construct a correlation model between national innovation capacity and economic development to serve as the reference for the government of Taiwan to enhance economic capacity.