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Assessing the Drivers of R&D Activities of Firms in Developing Countries: Evidence From Turkey

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  • Elif Kalaycı

    (Department of Public Finance, Atılım University, Ankara, Turkey)

  • Teoman Pamukçu

    (Department of Science and Technology Policy Studies, Middle East Technical University, Ankara, Turkey)

Abstract

Research and development (R&D) activities of firms in developing countries (DCs) have been gaining in importance for nationwide economic growth and development, while globalization of the world economy offers a number of opportunities for fostering knowledge-creating activities. Therefore, a better understanding of factors influencing R&D activities of firms in DCs with a view to conceive and implement appropriate policies is firmly on the agenda. In this article, a rich firm-level data set and a new estimation methodology with selection and endogeneity correction are used over the period 2003–2007 to investigate drivers of manufacturing R&D in Turkey. Our results indicate positive effects of foreign direct investment (FDI)-related vertical R&D spillovers, R&D subsidies and distance to technology frontier on R&D intensity, whereas FDI-related horizontal R&D spillovers, firm size and export intensity exert a negative effect.

Suggested Citation

  • Elif Kalaycı & Teoman Pamukçu, 2014. "Assessing the Drivers of R&D Activities of Firms in Developing Countries: Evidence From Turkey," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 26(5), pages 853-869, December.
    • Handle: RePEc:pal:eurjdr:v:26:y:2014:i:5:p:853-869
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    Cited by:

    1. Suma Athreye & Lucia Piscitello & Kenneth C. Shadlen, 2020. "Twenty-five years since TRIPS: Patent policy and international business," Journal of International Business Policy, Palgrave Macmillan, vol. 3(4), pages 315-328, December.

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