Barriers to innovation and subsidy effectiveness

• 成果类型: Article
• 署名作者: Gonzalez, Xulia; Jaumandreu, Jordi; Pazo, Consuelo
• 署名单位: Universidade de Vigo; Universidad Carlos III de Madrid
• 刊物名称: RAND JOURNAL OF ECONOMICS
• ISSN/ISSBN: 0741-6261
• 发表日期: 2005
• 页码: 930-950
• 关键词: research-and-development

摘要

We explore the effects of subsidies by means of a model of firms' decisions about performing R&D when some government support can be expected. We estimate it with data on about 2,000 performing and nonperforming Spanish manufacturing firms. We compute the subsidies required to induce R&D spending, we detect the firms that would cease to perform R&D without subsidies, and assess the change in the privately financed effort. Results suggest that subsidies stimulate R&D and some firms would stop performing in their absence, but most actual subsidies go to firms that would have performed R&D otherwise. We find no crowding out of private funds.