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Detecting Behavioural Additionality: An Empirical Study on the Impact of Public R&D Funding on Firms' Cooperative Behaviour in Germany

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  • Fier, Andreas
  • Aschhoff, Birgit
  • Löhlein, Heide

Abstract

Subsidising research networks has become a popular instrument in technology policies, driven mainly by expected positive spillovers. In particular, the stimulation of R&D co-operation between scientific institutions and industry is considered as most promising. In the context of policy evaluation we analyse if public R&D funding is suitable for influencing firms' collaborative behaviour in the intended way and where applicable, if a lasting change results. The empirical analysis is based on German CIS data and a supplemental telephone survey. Using a nearest-neighbour matching approach we find that R&D funding is indeed a particularly valuable tool for linking science into industry R&D partnerships. However, we also show in a bivariate probit analysis that newly initiated R&D co-operations with science are less likely to be continued after funding has ended compared to already existing cooperations. Therefore, the behavioural change induced by public funding is not necessarily long-lived. --

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Bibliographic Info

Paper provided by ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research in its series ZEW Discussion Papers with number 06-037 [rev.].

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Date of creation: 2007
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Handle: RePEc:zbw:zewdip:7190

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Keywords: Public Funding; Firm Behaviour; Policy Evaluation; R&D Co-operation;

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References

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Cited by:
  1. Tobias Schmidt & Birgit Aschhoff, 2007. "Die Nutzung der Innovationsdaten des Mannheimer Innovationspanels für die Politikberatung," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, DIW Berlin, German Institute for Economic Research, vol. 76(3), pages 17-28.
  2. Rumen Dobrinsky, 2009. "The Paradigm of Knowledge-Oriented Industrial Policy," Journal of Industry, Competition and Trade, Springer, Springer, vol. 9(4), pages 273-305, December.

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