R&D HETEROGENEITY AND THE IMPACT OF R&D SUBSIDIES

• 成果类型: Article
• 署名作者: Galaasen, Sigurd Molster; Irarrazabal, Alfonso
• 署名单位: Norges Bank; BI Norwegian Business School
• 刊物名称: ECONOMIC JOURNAL
• ISSN/ISSBN: 0013-0133
• DOI: 10.1093/ej/ueab021
• 发表日期: 2021
• 页码: 3338-3364
• 关键词: aggregate productivity; development investment; GROWTH; MODEL; INNOVATION; size

摘要

In this paper we study the determinants of R&D heterogeneity and the economic impact of R&D subsidies. We estimate a Schumpeterian growth model featuring firms with heterogeneous innovation efficiencies. The model fits well the R&D investment distribution, and the frequency and relative size of R&D performers. Using the model, we study the impact of a Norwegian R&D reform targeting firms with R&D spending below a certain threshold. The size-dependent subsidy increases aggregate R&D investment by 11.7%, but reduces growth and welfare. In contrast, a uniform subsidy stimulates investment, growth and welfare.