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Public R&D Funding and Entrepreneurial Innovation

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Author Info
Heli Koski

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Abstract

ABSTRACT : This study does not find any significant direct relationship between the public R&D funding and the firms` innovation output. The firms obtaining the public R&D support were not performing significantly better, on average, than others. However, we find evidence that the public R&D finance has substantially influenced the innovation output of the firms that have undertaken certain types of innovations activities. Particularly, public funding targeted to the firms focusing on new business areas in their R&D projects seems successful. Certain types of collaboration seem to also generate better entrepreneurial performance in terms of innovation. Those large firms that have more intensively collaborated with the SMS firm partners in their publicly funded R&D projects have filed more patent applications than other companies.

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Publisher Info
Paper provided by The Research Institute of the Finnish Economy in its series Discussion Papers with number 1142.

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Length: 28 pages
Date of creation: 07 Jul 2008
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Handle: RePEc:rif:dpaper:1142

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Related research
Keywords: innovation; public R&D subsidies; technology policy;

Find related papers by JEL classification:
L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
O33 - Economic Development, Technological Change, and Growth - - Technological Change - - - Technological Change: Choices and Consequences; Diffusion Processes
O38 - Economic Development, Technological Change, and Growth - - Technological Change - - - Government Policy

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References listed on IDEAS
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.:
  1. Paul A. David & Bronwyn H. Hall & Andrew A. Toole, 1999. "Is Public R&D a Complement or Substitute for Private R&D? A Review of the Econometric Evidence," Working Papers 99023, Stanford University, Department of Economics. [Downloadable!]
    Other versions:
  2. Lach, Saul, 2002. "Do R&D Subsidies Stimulate or Displace Private R&D? Evidence from Israel," Journal of Industrial Economics, Blackwell Publishing, vol. 50(4), pages 369-90, December. [Downloadable!] (restricted)
    Other versions:
  3. Josh Lerner, 1997. "An Empirical Exploration of a Technology Race," RAND Journal of Economics, The RAND Corporation, vol. 28(2), pages 228-247, Summer. [Downloadable!] (restricted)
  4. Doms, Mark & Dunne, Timothy & Roberts, Mark J., 1995. "The role of technology use in the survival and growth of manufacturing plants," International Journal of Industrial Organization, Elsevier, vol. 13(4), pages 523-542, December. [Downloadable!] (restricted)
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Cited by:
(explanations, 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.)

  1. Heli Koski, 2008. "Public R&D Subsidies and Employment Growth - Microeconomic Evidence from Finnish Firms," Discussion Papers 1143, The Research Institute of the Finnish Economy. [Downloadable!]
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