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Are there Scale Economies in Scientific Production? On the Topic of Locally Increasing Returns to Scale

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  • Schubert , Torben

    (CIRCLE, Lund University)

Abstract

In this paper the question of returns to scale in scientific production is analyzed using nonparametric techniques for multidimensional efficiency measurement. Based on survey data for German research groups from three scientific fields it is shown that the multidimensional production possibility sets are weakly non-convex and locally strictly non-convex. This implies that the production functions for the groups in the sample are characterised by increasing returns in some regions and at least constant returns to scale otherwise. This has two implications for organization of scientific research: first, at least some groups in our sample have suboptimal size and could benefit from growing. Second, specialisation on certain tasks in science (e.g. transfer-oriented groups vs. research-oriented groups) would increase output of the overall system.

Suggested Citation

  • Schubert , Torben, 2013. "Are there Scale Economies in Scientific Production? On the Topic of Locally Increasing Returns to Scale," Papers in Innovation Studies 2013/43, Lund University, CIRCLE - Centre for Innovation Research.
    • Handle: RePEc:hhs:lucirc:2013_043
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    References listed on IDEAS

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    More about this item

    Keywords

    Research Units; Specialisation; Production; Efficiency; Returns to scale; DEA;
    All these keywords.

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General

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