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Industrial Research and Firm Size, Survival, and Growth in American Manufacturing, 1921–1946: An Assessment

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  • Mowery, David C.

Abstract

The literature on the development of American industrial research suggests that during the twentieth century large firms “dominated†industrial research, and reaped the majority of the benefits from such activity. This paper utilizes new data to analyze both the relationship between firm size and research employment and the impact of research activity on firm growth and survival during 1921–1946. The results suggest that large firms were no more research-intensive than were small firms during the 1921–1946 period. Research activity significantly enhanced the probability of firms' survival among the ranks of the 200 largest manufacturing firms during 1921–1946. Research employment also improved the growth performance of both large and small firms during 1933–1946.

Suggested Citation

  • Mowery, David C., 1983. "Industrial Research and Firm Size, Survival, and Growth in American Manufacturing, 1921–1946: An Assessment," The Journal of Economic History, Cambridge University Press, vol. 43(4), pages 953-980, December.
    • Handle: RePEc:cup:jechis:v:43:y:1983:i:04:p:953-980_03
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    Cited by:

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    3. Alex Coad & Rekha Rao, 2006. "Innovation and firm growth in "complex technology" sectors: a quantile regression approach," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00118797, HAL.
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    7. Colombelli, Alessandra & Haned, Naciba & Le Bas, Christian, 2013. "On firm growth and innovation: Some new empirical perspectives using French CIS (1992–2004)," Structural Change and Economic Dynamics, Elsevier, vol. 26(C), pages 14-26.
    8. Coad, Alex & Rao, Rekha, 2008. "Innovation and firm growth in high-tech sectors: A quantile regression approach," Research Policy, Elsevier, vol. 37(4), pages 633-648, May.
    9. Alessandra Colombelli & Jackie Krafft & Francesco Quatraro, 2015. "Eco-Innovation and Firm Growth: Do Green Gazelles Run Faster? Microeconometric Evidence from a Sample of European Firms," GREDEG Working Papers 2015-12, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    10. Ufuk Akcigit, 2009. "Firm Size, Innovation Dynamics and Growth," 2009 Meeting Papers 1267, Society for Economic Dynamics.
    11. Sven-Olov Daunfeldt & Niklas Elert, 2013. "When is Gibrat’s law a law?," Small Business Economics, Springer, vol. 41(1), pages 133-147, June.
    12. Rishab Ghosh & Luc Soete, 2006. "Information and intellectual property: the global challenges," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 15(6), pages 919-935, December.
    13. Soete, Luc, 2008. "Science, Technology and Development: Emerging concepts and visions," MERIT Working Papers 2008-001, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    14. McKelvie, Alexander & Brattström, Anna & Wennberg, Karl, 2013. "The Relationship Between Innovation and New Firm Growth," Ratio Working Papers 206, The Ratio Institute.
    15. Bergner, Sören Martin & Bräutigam, Rainer & Evers, Maria Theresia & Spengel, Christoph, 2017. "The use of SME tax incentives in the European Union," ZEW Discussion Papers 17-006, ZEW - Leibniz Centre for European Economic Research.
    16. Parisa Pourkarimi & Eric Kam, 2022. "The Impact of R&D and Advertising on Firm Performance in High-Tech Industries—Evidence from the U.S. Information and Communications Technology Industry," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 20(3), pages 723-753, September.
    17. Halvarsson, Daniel, 2013. "Industry Differences in the Firm Size Distribution," Ratio Working Papers 214, The Ratio Institute.
    18. Zvi Griliches, 1998. "Patent Statistics as Economic Indicators: A Survey," NBER Chapters, in: R&D and Productivity: The Econometric Evidence, pages 287-343, National Bureau of Economic Research, Inc.
    19. Alessandra Colombelli & Jackie Krafft & Francesco Quatraro, 2015. "Eco-innovation and Firm Growth: Do Green Gazelles Run Faster? Microeconometric Evidence from a Sample of European Firms. WWWforEurope Working Paper No. 88," WIFO Studies, WIFO, number 57897, February.
    20. Cohen, Wesley M., 2010. "Fifty Years of Empirical Studies of Innovative Activity and Performance," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 1, chapter 0, pages 129-213, Elsevier.
    21. Pattit, Jason M. & Raj, S.P. & Wilemon, David, 2012. "An institutional theory investigation of U.S. technology development trends since the mid-19th century," Research Policy, Elsevier, vol. 41(2), pages 306-318.
    22. Óscar Afonso, 2022. "Growth and wage effects of the monetary policy," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 27(4), pages 4058-4084, October.
    23. Luis Suarez-Villa & Ruth Rama, 1996. "Outsourcing, R&D and the Pattern of Intra-metropolitan Location: The Electronics Industries of Madrid," Urban Studies, Urban Studies Journal Limited, vol. 33(7), pages 1155-1197, August.
    24. Aili Tang, 2015. "Does Gibrat’s law hold for Swedish energy firms?," Empirical Economics, Springer, vol. 49(2), pages 659-674, September.
    25. Qingjun Zhao & Jiancheng Guan, 2012. "Modeling the dynamic relation between science and technology in nanotechnology," Scientometrics, Springer;Akadémiai Kiadó, vol. 90(2), pages 561-579, February.

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