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Does Federal Research Funding Increase University Research Output?

Author

Listed:
  • Payne A. Abigail

    () (McMaster University)

  • Siow Aloysius

    () (University of Toronto)

Abstract

This paper estimates the effects of federal research funding on research outcomes at 68 research universities. We provide a new interpretation of the instrumental variable estimate of the coefficient in a regression of the output of an institution on an input. Absent parameter heterogeneity, it captures the total change in output when an institution obtains an additional unit of the input that may be correlated with the other inputs that affect the output measure. Our instrument for research funding is alumni representation on U.S. Congressional appropriations committees. Our results suggest an increase of $1 million in federal research funding (1996$) to a university results in 10 more articles and 0.2 more patents. The change in citations per article is negative but very small and imprecisely measured. As a first approximation, increasing federal research funding on the margin results in more, but not necessarily higher quality, research output.

Suggested Citation

  • Payne A. Abigail & Siow Aloysius, 2003. "Does Federal Research Funding Increase University Research Output?," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 3(1), pages 1-24, May.
  • Handle: RePEc:bpj:bejeap:v:advances.3:y:2003:i:1:n:1
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    References listed on IDEAS

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    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
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    Cited by:

    1. Saul Lach & Mark Schankerman, 2004. "Incentives and Invention in Universities," STICERD - Economics of Industry Papers 33, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
    2. Saul Lach & Mark Schankerman, 2008. "Incentives and invention in universities," RAND Journal of Economics, RAND Corporation, vol. 39(2), pages 403-433.
    3. de Rassenfosse, Gaétan & Schoen, Anja & Wastyn, Annelies, 2014. "Selection bias in innovation studies: A simple test," Technological Forecasting and Social Change, Elsevier, vol. 81(C), pages 287-299.
    4. Boardman, P. Craig, 2009. "Government centrality to university-industry interactions: University research centers and the industry involvement of academic researchers," Research Policy, Elsevier, pages 1505-1516.
    5. Schuelke-Leech, Beth-Anne, 2013. "Resources and research: An empirical study of the influence of departmental research resources on individual STEM researchers involvement with industry," Research Policy, Elsevier, pages 1667-1678.
    6. Tomás del Barrio-Castro & José García-Quevedo, 2009. "The determinants of university patenting: Do incentives matter?," Working Papers 2009/13, Institut d'Economia de Barcelona (IEB).
    7. repec:eee:respol:v:46:y:2017:i:8:p:1387-1398 is not listed on IDEAS
    8. Rosenbloom, Joshua L. & Ginther, Donna K., 2017. "Show me the Money: Federal R&D Support for Academic Chemistry, 1990–2009," Research Policy, Elsevier, pages 1454-1464.
    9. Alona Zharova & Wolfgang K. Härdle & Stefan Lessmann, 2017. "Is Scientific Performance a Function of Funds?," SFB 649 Discussion Papers SFB649DP2017-028, Sonderforschungsbereich 649, Humboldt University, Berlin, Germany.
    10. Carayol, Nicolas & Matt, Mireille, 2004. "Does research organization influence academic production?: Laboratory level evidence from a large European university," Research Policy, Elsevier, pages 1081-1102.
    11. Wu, Jiang, 2015. "Distributions of scientific funding across universities and research disciplines," Journal of Informetrics, Elsevier, vol. 9(1), pages 183-196.
    12. Beaudry, Catherine & Allaoui, Sedki, 2012. "Impact of public and private research funding on scientific production: The case of nanotechnology," Research Policy, Elsevier, pages 1589-1606.
    13. Joaquín Azagra-Caro & Nicolas Carayol & Patrick Llerena, 2006. "Patent Production at a European Research University: Exploratory Evidence at the Laboratory Level," The Journal of Technology Transfer, Springer, vol. 31(2), pages 257-268, March.
    14. Réjean Landry & Nabil Amara & Malek Saïhi, 2007. "Patenting and spin-off creation by Canadian researchers in engineering and life sciences," The Journal of Technology Transfer, Springer, vol. 32(3), pages 217-249, June.
    15. A Abigail Payne, 2001. "Do Congressional Earmarks Increase Research Output at Universities?," Public Economics 0111002, EconWPA.
    16. Branco Ponomariov, 2008. "Effects of university characteristics on scientists’ interactions with the private sector: an exploratory assessment," The Journal of Technology Transfer, Springer, vol. 33(5), pages 485-503, October.
    17. Ebadi, Ashkan & Schiffauerova, Andrea, 2015. "How to become an important player in scientific collaboration networks?," Journal of Informetrics, Elsevier, vol. 9(4), pages 809-825.
    18. Boardman, P. Craig & Corley, Elizabeth A., 2008. "University research centers and the composition of research collaborations," Research Policy, Elsevier, pages 900-913.
    19. Emad Harash & Suhail Nassir Al-Timimi & Fatima Jasem Alsaad & Abdulkhaliq Y. Zaier Al-Badran & Essia Ries Ahmed, 2014. "Contingency Factors and Performance of Research and Development (R&D): The Moderating Effects of Government Policy," Journal of Asian Scientific Research, Asian Economic and Social Society, vol. 4(2), pages 47-58, February.

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