Are R&D Subsidies a Substitute Or a Complement to Privately Funded R&D? Evidence from France Using Propensity Score Methods for Non-
Experimental Data

The study examines the effect of research and development (R&D) subsidies on the private funding of R&D in France. The author addresses this issue from the annual R&D survey over 1985-1997, which provides information about the R&D subsidies given by all the ministries to the firms having at least one full-time person working on R&D.