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Defense financing of private R&D: evidences from French firms

Author

Listed:
  • Sarah Guillou

    (OFCE - Observatoire français des conjonctures économiques (Sciences Po) - Sciences Po - Sciences Po)

  • Christian Longhi

    (GREDEG - Groupe de Recherche en Droit, Economie et Gestion - UNS - Université Nice Sophia Antipolis (1965 - 2019) - CNRS - Centre National de la Recherche Scientifique - UniCA - Université Côte d'Azur)

Abstract

This paper focuses on the public financing of private R&D. In France, this type of finance is mainly in the form of defense subsidies. This study brings empirical evidence on the open question of the effects of the public subsidies on private research, through analysing firms that receive R&D subsidies from the French Ministry for Defense. The paper builds different samples of firms from the available R&D and innovation surveys and evidences that the links with Defense have consequences on technological performance. Precisely, it shows that the firms benefiting from R&D subsidies exhibit a higher propensity to innovate.

Suggested Citation

  • Sarah Guillou & Christian Longhi, 2009. "Defense financing of private R&D: evidences from French firms," SciencePo Working papers Main hal-03416571, HAL.
    • Handle: RePEc:hal:spmain:hal-03416571
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