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The location of R&D in the Netherlands: trends, determinants and policy

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  • Maarten Cornet
  • Marieke Rensman

Abstract

Many factors determine the location of business R&D projects, the most important being history, the supply of R&D labour, and the quality of the public knowledge infrastructure (including the science-industry knowledge transfer). The set of R&D locations in the Netherlands changes little over time. But two things do change regularly: the size of the R&D activities at a particular site and the name and nationality of the owner of an R&D site.The Netherlands takes an average or higher position in a ranking of OECD countries according to attractiveness to the location of business R&D. Since domestic R&D is an important engine for domestic economic growth and since the market fails to provide optimal incentives for R&D, there is scope for government policy that improves upon the R&D location climate. Yet, this policy rationale does not necessarily imply that R&D policy initiatives are always effective and efficient: elasticities and social (opportunity) costs should be taken into account.

Suggested Citation

  • Maarten Cornet & Marieke Rensman, 2001. "The location of R&D in the Netherlands: trends, determinants and policy," CPB Document 14, CPB Netherlands Bureau for Economic Policy Analysis.
    • Handle: RePEc:cpb:docmnt:14
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    References listed on IDEAS

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    1. Ray Barrell & Nigel Pain, 1997. "The Growth of Foreign Direct Investment in Europe," National Institute Economic Review, National Institute of Economic and Social Research, vol. 160(1), pages 63-75, April.
    2. Beugelsdijk, S. & Cornet, M., 2001. "How far do They Reach? The Localization of Industrial and Academic Knowledge Spillovers in the Netherlands," Discussion Paper 2001-47, Tilburg University, Center for Economic Research.
    3. Barrell, Ray & Pain, Nigel, 1997. "Foreign Direct Investment, Technological Change, and Economic Growth within Europe," Economic Journal, Royal Economic Society, vol. 107(445), pages 1770-1786, November.
    4. Vincenzo Atella & Beniamino Quintieri, 2001. "Do R&D expenditures really matter for TFP?," Applied Economics, Taylor & Francis Journals, vol. 33(11), pages 1385-1389.
    5. Audretsch, David B & Feldman, Maryann P, 1996. "R&D Spillovers and the Geography of Innovation and Production," American Economic Review, American Economic Association, vol. 86(3), pages 630-640, June.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Wouter Jacobs & Hans R. A. Koster & Frank van Oort, 2014. "Co-agglomeration of knowledge-intensive business services and multinational enterprises," Journal of Economic Geography, Oxford University Press, vol. 14(2), pages 443-475.
    2. Hugo Erken & Marcel Kleijn, 2010. "Location factors of international R&D activities: an econometric approach," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 19(3), pages 203-232.
    3. Bert Diederen & Pierre Mohnen & Franz C. Palm & Sybrand Schim van der Loeff, 2006. "Innovation in Enterprise Clusters: Evidence from Dutch Manufacturing," Chapters, in: Louise Earl & Fred Gault (ed.), National Innovation, Indicators and Policy, chapter 4, Edward Elgar Publishing.
    4. Joëlle Noailly & Daniël Waagmeester & Bas Jacobs & Marieke Rensman & Dinand Webbink, 2005. "Scarcity of science and engineering students in the Netherlands," CPB Document 92, CPB Netherlands Bureau for Economic Policy Analysis.
    5. Liu, Meng-chun & Chen, Shin-Horng, 2012. "MNCs’ offshore R&D networks in host country's regional innovation system: The case of Taiwan-based firms in China," Research Policy, Elsevier, vol. 41(6), pages 1107-1120.
    6. Joëlle Noailly & Daniël Waagmeester & Bas Jacobs & Marieke Rensman & Dinand Webbink, 2005. "Scarcity of science and engineering students in the Netherlands," CPB Document 92.rdf, CPB Netherlands Bureau for Economic Policy Analysis.
    7. Peter Teirlinck & André Spithoven, 2005. "Spatial Inequality And Location Of Private R&D Activities In Belgian Districts," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 96(5), pages 558-572, December.

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    More about this item

    JEL classification:

    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • R30 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - General

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