This study analyses how public R&D financing impacts companies. The main goal is to study whether public and private R&D financing are substitutes or complements, and whether this impact differs between financially constrained and unconstrained companies.
Using a game theoretical model on firms simultaneous investments in product and process innovation, the authors deduct and empirically test hypotheses on the optimal R&D portfolio, investment, performance, and dynamic efficiency of R&D for acquisitions and in independently competing firms. They use Community Innovation Survey data on Italian manufacturing firms.
A growth model with endogenous innovation and accumulation of high-tech and low-tech human capital is developed. The model accounts for a recently established fact about human capital composition, which stated that the richest countries are investing proportionally less than middle income countries in engineering and technical human capital, due to the consideration of a negative effect of technological development on the accumulation of high-tech human capital.
This paper decomposes knowledge-diffusing trade flows and estimates their impacts separately. Overall, trade generates positive knowledge spillovers, but the effects of intra-industry trade are ambiguous. With regard to sectoral import penetration, the authors find that potential positive spillovers are dominated by negative competition effects.
This paper augments an R&D-based growth model of the third generation with human capital accumulation and impure altruism, calibrates it with U.S. data, and investigates whether the market provides too little or too much R&D.
This paper examines the causal relationships between the R&D sector activities of the EU and the US in a multivariate framework. As a novelty in this literature, we employ the subset transfer function methodology to account for the possibility of “dry holes” in the effects of R&D efforts on economic activity. The authors find that R&D activity in the EU is a direct Granger-cause of both R&D and economy-wide productivity in the US, and the effects are negative.
This paper examines the causal relationships between the R&D sector activities of the EU and the US in a multivariate framework. As a novelty in this literature, we employ the subset transfer function methodology to account for the possibility of “dry holes” in the effects of R&D efforts on economic activity. The authors find that R&D activity in the EU is a direct Granger-cause of both R&D and economy-wide productivity in the US, and the effects are negative.
This paper uses panel regressions to investigate the effects of innovation policies and framework factors on business R&D intensity and patenting for a sample of 20 OECD countries over the period 1982-2001. Both sets of factors are found to matter; the main determinants of innovativeness appear to be the availability of scientists and engineers, research conducted in the public sector (including universities), business-academic links, the degree of product market competition, a high level of financial development and access to foreign inventions.
The authors investigate firms incentives to locate in the same region to gain access to a large pool of skilled labour. When firms cluster, they tend to invest more and take more risk in R&D compared to spatially dispersed firms.
Accoring to the InfoBrief, companies spent $204 billion in current-year dollars on research and development performed in the United States during 2003 compared with $193.9 billion in 2002. In inflation-adjusted dollars, R&D expenditures in 2003 increased $6.2 billion (3.3 percent), following the decrease in 2002 of $11.0 billion.