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Innovation on demand--Can public procurement drive market success of innovations?

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Author Info
Aschhoff, Birgit
Sofka, Wolfgang

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Abstract

Public procurement has been at the centre of recent discussions on innovation policy. We embed it into the broader framework of public policies to stimulate innovation: regulations, R&D subsidies and basic research at universities. We synthesize the characteristics of all four instruments conceptionally and quantitatively compare their effects on innovation success for 1100 firms in Germany. We find that public procurement and knowledge spillovers from universities propel innovation success equally. The benefits of university knowledge apply uniformly to all firms. However, public procurement is especially effective for smaller firms in regions under economic stress and in distributive or technological services.

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File URL: http://www.sciencedirect.com/science/article/B6V77-4WWFN2K-1/2/84b71fb654966fe5c96b82a9cc431de6
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Publisher Info
Article provided by Elsevier in its journal Research Policy.

Volume (Year): 38 (2009)
Issue (Month): 8 (October)
Pages: 1235-1247
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Handle: RePEc:eee:respol:v:38:y:2009:i:8:p:1235-1247

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Related research
Keywords: Innovation policy Public procurement Comparison of instruments Innovation success;

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  3. DUGUET Emmanuel, 2004. "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," Public Economics 0411007, EconWPA. [Downloadable!]
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  6. Barbara Sianesi, 2004. "An Evaluation of the Swedish System of Active Labor Market Programs in the 1990s," The Review of Economics and Statistics, MIT Press, vol. 86(1), pages 133-155, 09. [Downloadable!] (restricted)
  7. Heckman, James J & Ichimura, Hidehiko & Todd, Petra E, 1997. "Matching as an Econometric Evaluation Estimator: Evidence from Evaluating a Job Training Programme," Review of Economic Studies, Blackwell Publishing, vol. 64(4), pages 605-54, October. [Downloadable!] (restricted)
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  13. Heckman, James J. & Lalonde, Robert J. & Smith, Jeffrey A., 1999. "The economics and econometrics of active labor market programs," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 31, pages 1865-2097 Elsevier. [Downloadable!] (restricted)
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