The Chinese mainland fell one spot to 35th from last year in the Global Innovation Index 2013, jointly published by Cornell University, INSEAD, and the World Intellectual Property Organization. Hong Kong moved up one to 7th. The United States rejoined the five most—innovative nations while Switzerland retained pole position.

Despite the economic crisis, innovation is alive and well, the release said. Research and development spending levels are passing 2008 levels in most countries and successful local hubs are thriving. A group of dynamic middle and low income countries — including China, Costa Rica, India, and Senegal — are outpacing their peers, but haven’t broken into the top of the GII 2013 leader board.