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R&D Spending and Economic Growth in Selected OECD Countries

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  • Arash Ketabforoush Badri

    (Department of Economic, Faculty of Management and Accounting, Qazvin Islamic Azad University, Iran.)

  • Parsa Ketabforoush Badri

    (Faculty of Management, Tabriz University, Tabriz, Iran.)

  • Mostafa Cham

    (Faculty of Information Technology and Computer Engineering, Azarbaijan Shahid Madani University, Iran.)

Abstract

R&D is one of the important factors affecting economic growth. Increased use of R&D will increase competition in manufacturing sectors, which will have a positive impact on the economy, improving product quality and diversity and improving productivity, which will increase production itself. The purpose of this study is to investigate the effects of R&D spending on economic growth using the GMM method for the 15 selected OECD countries from 2012 to 2018. The estimation results show that R&D has had a positive and significant effect on economic growth in the countries studied. Also, GDP of the last year, exchange rate and tax have had a positive impact on economic growth.

Suggested Citation

  • Arash Ketabforoush Badri & Parsa Ketabforoush Badri & Mostafa Cham, 2019. "R&D Spending and Economic Growth in Selected OECD Countries," International Journal of Applied Economics, Finance and Accounting, Online Academic Press, vol. 5(2), pages 48-54.
  • Handle: RePEc:oap:ijaefa:2019:p:48-54
    DOI: https://doi.org/10.33094/8.2017.2019.52.48.54
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