Approaches to Assessing the Efficiency of Public Investment in Research and Development Sector

The problem of evaluating the effectiveness of public investment in research and development is relevant in connection with the need to improve the efficiency of research and development in the conditions of the emergence of knowledge economy, as well as capacity building for future development. The article deals with approaches to evaluating the effectiveness of public investment in research and development sector. It is proposed to use the design-software approach or an approach based on the analysis of the effectiveness growth and financing of research and development (hereinafter − R & D) depending on the purpose of the evaluation. The research shows that the efficiency of public spending undertaken by public authorities, as the main managers of budgetary funds, can be evaluated and analyzed based on key and additional indicators of R & D investment. This assessment will, if appropriate, timely adjust the direction of spending in order to achieve maximum cost-effectiveness. Coordination of financial instruments that support the creation of intellectual property and regulatory measures aimed at stimulating its creation and using is the key to ensuring the efficiency of investments in research and development. It is proved that the evaluation of the effectiveness of public spending on R & D is an essential element of governance that ensures the redistribution of budget funds aimed at creating a critical mass of innovative technologies and technologies that reduce dependence on imports. It was found that the developed approach to monitoring the effectiveness of the federal executive bodies activity aimed at the development of innovative economy, providing a transition to more effective model of R & D investment management. Key indicators and the procedure for determining the efficiency of the state financial support of R & D and incorporation of the findings into economic circulation to ensure sustainable economic development are identified. Moreover, the article determines the place of assessment of the effectiveness of public R & D investment in the existing system of decision-making.