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The R&D Drop in European Utilities. Should we care about it?

  • Alessandro Sterlacchini

By using accounting data from the largest utility companies of Europe, this note illustrates the recent R&D performance in energy and telecommunication. Although not all the companies under consideration behaved symmetrically, most of them reduced substantially their R&D investment. Over the period 2000-05, their total R&D expenditures at current prices decreased by 33%, while their R&D intensity (on sales) diminished from 1.1 to 0.7%. In discussing the above findings, it is argued that a drop of this size is hardly justifiable and weakens the EU economy in a non-negligible manner.

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File URL: http://www3.druid.dk/wp/20060019.pdf
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Paper provided by DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies in its series DRUID Working Papers with number 06-19.

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Date of creation: 2006
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Handle: RePEc:aal:abbswp:06-19
Contact details of provider: Web page: http://www.druid.dk/

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  1. Dooley, J J, 1998. "Unintended consequences: energy R&D in a deregulated energy market," Energy Policy, Elsevier, vol. 26(7), pages 547-555, June.
  2. Sterlacchini Alessandro, 2004. "Ricerca e alta tecnologia in Italia: le basi per un rilancio," L'industria, Società editrice il Mulino, issue 4, pages 675-706.
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