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Location, Location, Location: Do Universities Matter for Foreign R&D?

Author

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  • Loles Añón Higón

    (Department of Applied Economics II and ERI-CES, Faculty of Economics, Universitat de València, Avda. Tarongers, s/n, 46022 Valencia (Spain).)

  • Alfonso Díez-Minguela

    (Department of Economic Analysis, Faculty of Economics, Universitat de València, Avda. Tarongers, s/n, 46022 Valencia (Spain).)

Abstract

This paper explores the extent to which the regional Higher Education System (HES) influences the location of foreign R&D. To do so, we use a dataset with information on the location choices of new foreign R&D establishments within Spain from 2005 to 2013. Likewise, we use a multiple measure of the university three missions, distinguishing between research capacity training, scientific research and technology transfer. We find that the probability of a foreign R&D establishment being located in a region is positively affected by the strength of the region’s HES missions, and more specifically by the quality of its scientific research, while its research training capacity and knowledge transfer activities do not seem to play a significant role.

Suggested Citation

  • Loles Añón Higón & Alfonso Díez-Minguela, 2021. "Location, Location, Location: Do Universities Matter for Foreign R&D?," Working Papers 2109, Department of Applied Economics II, Universidad de Valencia.
    • Handle: RePEc:eec:wpaper:2109
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    More about this item

    Keywords

    Foreign R&D; universities; location; research activities; development;
    All these keywords.

    JEL classification:

    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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