R&D Subsidies And Firm-Level Productivity: Evidence From France
This paper attempts to provide a new insight into the relationship between R&D subsidies and firm-level productivity. The empirical analysis evaluates the productivity of firms involved in a European program of public R&D grants called Eureka. The findings suggest that the Eureka firms on average experience productivity gains towards the end of the 3-years grant period. However, the average increase in productivity hides substantial firm heterogeneity. Namely it hides that low productive firms gain more from an R&D subsidy than high productive firms. The empirical analysis is conducted by using propensity score matching and a difference-in-differences estimation method to control for potential endogeneity issues.
|Date of creation:||28 Jan 2011|
|Date of revision:||24 Oct 2013|
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- Roediger-Schluga, Thomas & Barber, Michael J., 2007. "R&D collaboration networks in the European FrameworkProgrammes: Data processing, network construction and selected results," MERIT Working Papers 032, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
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