IDEAS home Printed from https://ideas.repec.org/p/mib/wpaper/410.html
   My bibliography  Save this paper

Procurement in Big Science Centres: politics or technology? Evidence from CERN

Author

Listed:
  • Andrea, Bastianin
  • Chiara F., Del Bo

Abstract

Procurement from Big Science Centers (BSC) yields a variety of spillover effects that can ultimately have growth enhancing consequences for their partner countries. We study the determinants of procurement for the biggest research infrastructure ever built: the Large Hadron Collider (LHC) at CERN. Using a unique cross-section database of firms that have registered to become industrial partners of the LHC program, we estimate the determinants for potential suppliers of receiving an order from CERN. We compare the relative weight of firms’ technological features and CERN’s procurement rules aimed at securing a juste retour for its Member States. Our results point to a strong impact of technological factors, while also highlighting the importance of political constraints related with CERN’s procurement rules as well as the presence of a home bias. Since the constraints related with the achievement of a juste retour affect–directly or indirectly–the procurement policy of many European BSCs, our results have policy implications that go beyond the CERN case study.

Suggested Citation

  • Andrea, Bastianin & Chiara F., Del Bo, 2019. "Procurement in Big Science Centres: politics or technology? Evidence from CERN," Working Papers 410, University of Milano-Bicocca, Department of Economics, revised 21 May 2019.
  • Handle: RePEc:mib:wpaper:410
    as

    Download full text from publisher

    File URL: http://repec.dems.unimib.it/repec/pdf/mibwpaper410.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Edler, Jakob & Georghiou, Luke, 2007. "Public procurement and innovation--Resurrecting the demand side," Research Policy, Elsevier, vol. 36(7), pages 949-963, September.
    2. Massimo Florio & Francesco Giffoni & Anna Giunta & Emanuela Sirtori, 2018. "Big science, learning, and innovation: evidence from CERN procurement," Industrial and Corporate Change, Oxford University Press, vol. 27(5), pages 915-936.
    3. Albert Breton & Pierre Salmon, 1996. "Are Discriminatory Procurement Policies Motivated by Protectionism?," Kyklos, Wiley Blackwell, vol. 49(1), pages 47-68, February.
    4. Castelnovo, Paolo & Florio, Massimo & Forte, Stefano & Rossi, Lucio & Sirtori, Emanuela, 2018. "The economic impact of technological procurement for large-scale research infrastructures: Evidence from the Large Hadron Collider at CERN," Research Policy, Elsevier, vol. 47(9), pages 1853-1867.
    5. Christian Helmers & Henry G. Overman, 2017. "My Precious! The Location and Diffusion of Scientific Research: Evidence from the Synchrotron Diamond Light Source," Economic Journal, Royal Economic Society, vol. 127(604), pages 2006-2040, September.
    6. Nilsen, Vetle & Anelli, Giovanni, 2016. "Knowledge transfer at CERN," Technological Forecasting and Social Change, Elsevier, vol. 112(C), pages 113-120.
    7. Evans, Lyn, 2016. "Particle accelerators at CERN: From the early days to the LHC and beyond," Technological Forecasting and Social Change, Elsevier, vol. 112(C), pages 4-12.
    8. White, Halbert, 1980. "A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity," Econometrica, Econometric Society, vol. 48(4), pages 817-838, May.
    9. Anirudh Shingal, 2015. "Econometric Analyses of Home Bias in Government Procurement," Review of International Economics, Wiley Blackwell, vol. 23(1), pages 188-219, February.
    10. Annalisa Caloffi & Francesca Gambarotto, 2017. "Cognitive distance in public procurement and public–private partnerships: An analysis of the construction sector," Environment and Planning C, , vol. 35(5), pages 765-783, August.
    11. Battistoni, Giuseppe & Genco, Mario & Marsilio, Marta & Pancotti, Chiara & Rossi, Sandro & Vignetti, Silvia, 2016. "Cost–benefit analysis of applied research infrastructure. Evidence from health care," Technological Forecasting and Social Change, Elsevier, vol. 112(C), pages 79-91.
    12. Autio, Erkko & Hameri, Ari-Pekka & Vuola, Olli, 2004. "A framework of industrial knowledge spillovers in big-science centers," Research Policy, Elsevier, vol. 33(1), pages 107-126, January.
    13. Adam M. Williams, 2014. "Local preferencing for local suppliers: examining the use of locality in public procurement," Public Money & Management, Taylor & Francis Journals, vol. 34(3), pages 165-172, May.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Castelnovo, Paolo & Florio, Massimo & Forte, Stefano & Rossi, Lucio & Sirtori, Emanuela, 2018. "The economic impact of technological procurement for large-scale research infrastructures: Evidence from the Large Hadron Collider at CERN," Research Policy, Elsevier, vol. 47(9), pages 1853-1867.
    2. Andrea Bastianin & Paolo Castelnovo & Massimo Florio & Anna Giunta, 2022. "Big science and innovation: gestation lag from procurement to patents for CERN suppliers," The Journal of Technology Transfer, Springer, vol. 47(2), pages 531-555, April.
    3. Paolo Castelnovo & Martina Dal Molin, 2021. "The learning mechanisms through public procurement for innovation: The case of government‐funded basic research organizations," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 92(3), pages 411-446, September.
    4. Andrea, Bastianin & Paolo, Castelnuovo & Massimo, Florio & Anna, Giunta, 2019. "Technological Learning and Innovation Gestation Lags at the Frontier of Science: from CERN Procurement to Patents," Working Papers 405, University of Milano-Bicocca, Department of Economics, revised Apr 2019.
    5. Paolo CASTELNOVO & Massimo FLORIO, 2019. "Mission-oriented Public Organizations for Knowledge Creation," Departmental Working Papers 2019-09, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
    6. Sofia Patsali, 2019. "Opening the black box of university-suppliers' co-invention: some field study evidence," Working Papers of BETA 2019-46, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
    7. Massimo FLORIO & Francesco GIFFONI, 2019. "L’impatto sociale della produzione di scienza su larga scala: come governarlo?," Departmental Working Papers 2019-05, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
    8. Scarrà, Deepa & Piccaluga, Andrea, 2022. "The impact of technology transfer and knowledge spillover from Big Science: a literature review," Technovation, Elsevier, vol. 116(C).
    9. Sofia Patsali, 2021. "University Procurement-led Innovation," GREDEG Working Papers 2021-13, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    10. Castelnovo, Paolo & Clò, Stefano & Florio, Massimo, 2023. "A quasi-experimental design to assess the innovative impact of public procurement: An application to the Italian space industry," Technovation, Elsevier, vol. 121(C).
    11. Jessica Catalano & Francesco Giffoni & Paolo Castelnovo, 2021. "The impact of space procurement on suppliers: Evidence from Italy," Working Papers 202102, CSIL Centre for Industrial Studies.
    12. Bernard Hoekman & Marco Sanfilippo, 2018. "Firm performance and participation in public procurement: Evidence from Sub-Saharan Africa," RSCAS Working Papers 2018/16, European University Institute.
    13. Cavallo, Angelo & Burgers, Henri & Ghezzi, Antonio & van de Vrande, Vareska, 2022. "The evolving nature of open innovation governance: A study of a digital platform development in collaboration with a big science centre," Technovation, Elsevier, vol. 116(C).
    14. David Eggleton, 2020. "Tailoring Leadership to the Phase-Specific Needs of Large Scale Research Infrastructures," SPRU Working Paper Series 2020-15, SPRU - Science Policy Research Unit, University of Sussex Business School.
    15. Giffoni, Francesco & Florio, Massimo, 2023. "Public support of science: A contingent valuation study of citizens' attitudes about CERN with and without information about implicit taxes," Research Policy, Elsevier, vol. 52(1).
    16. Puliga, Gloria & Urbinati, Andrea & Franchin, Enrico Maria & Castegnaro, Stefano, 2023. "Investigating the drivers of failure of research-industry collaborations in open innovation contexts," Technovation, Elsevier, vol. 119(C).
    17. Bernard Hoekman, 2015. "International Cooperation on Public Procurement Regulation," RSCAS Working Papers 2015/88, European University Institute.
    18. Christoph March & Ina Schieferdecker, 2021. "Technological Sovereignty as Ability, Not Autarky," CESifo Working Paper Series 9139, CESifo.
    19. Paolo Castelnuovo & Stefano Clo & Massimo Florio, 2021. "Space policy drives innovation through technological procurement: evidence from Italy," Working Papers - Economics wp2021_08.rdf, Universita' degli Studi di Firenze, Dipartimento di Scienze per l'Economia e l'Impresa.
    20. Clò, Stefano & Florio, Massimo & Rentocchini, Francesco, 2020. "Firm ownership, quality of government and innovation: Evidence from patenting in the telecommunication industry," Research Policy, Elsevier, vol. 49(5).

    More about this item

    Keywords

    big science; procurement; innovation; hi-tech; CERN.;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • H57 - Public Economics - - National Government Expenditures and Related Policies - - - Procurement
    • 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

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mib:wpaper:410. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Matteo Pelagatti (email available below). General contact details of provider: https://edirc.repec.org/data/dpmibit.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.