R&D Subsidies And Firm-Level Productivity: Evidence From France
AbstractThis paper attempts to provide a new insight into the relationship between R&D subsidies and firm-level productivity. The empirical analysis evaluates the productivity of firms involved in a European program of public R&D grants called Eureka. The findings suggest that the Eureka firms on average experience productivity gains towards the end of the 3-years grant period. However, the average increase in productivity hides substantial firm heterogeneity. Namely it hides that low productive firms gain more from an R&D subsidy than high productive firms. The empirical analysis is conducted by using propensity score matching and a difference-in-differences estimation method to control for potential endogeneity issues.
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Bibliographic InfoPaper provided by Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES) in its series Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) with number 2011002.
Date of creation: 28 Jan 2011
Date of revision: 24 Oct 2013
R&D subsidies; Collaborative Research; Total Factors Productivity and Firm Heterogeneity;
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-02-26 (All new papers)
- NEP-EFF-2011-02-26 (Efficiency & Productivity)
- NEP-EUR-2011-02-26 (Microeconomic European Issues)
- NEP-INO-2011-02-26 (Innovation)
- NEP-SBM-2011-02-26 (Small Business Management)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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