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Measuring the Returns to R&D

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  • Hall, Bronwyn H.

    ()
    (University of California at Berkeley, UNU-MERIT, and Maastricht University)

  • Mairesse, Jacques

    ()
    (UNU-MERIT, Maastricht University, and CREST)

  • Mohnen, Pierre

    ()
    (UNU-MERIT, Maastricht University, and CIRANO)

Abstract

We review the econometric literature on measuring the returns to R&D. The theoretical frameworks that have been used are outlined, followed by an extensive discussion of measurement and econometric issues that arise when estimating the models. We then provide a series of tables summarizing the major results that have been obtained and conclude with a presentation of R&D spillover returns measurement. In general, the private returns to R&D are strongly positive and somewhat higher than those for ordinary capital, while the social returns are even higher, although variable and imprecisely measured in many cases.

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Paper provided by United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT) in its series MERIT Working Papers with number 006.

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Date of creation: 2010
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Handle: RePEc:unm:unumer:2010006

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Keywords: returns to R&D; innovation; social returns; spillovers;

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