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The effectiveness of regional policies for innovation: an empirical investigation

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  • Martina Cioni

    ()

  • Davide Conforti

    ()

Abstract

This paper provides the outcomes following an evaluation analysis of a public intervention aimed to support innovation within small and medium firms (azione 3.2 under Council Regulation EEC 2081/93, Docup Ob. 2 1997-1999). We gathered the data through an ad hoc survey of firms which applied for granting, whether successfully or not. We carried on an impact evaluation of the intervention on the basis of specific indicators pertaining both to performance and to innovation capability. According to our outcomes, the intervention had a (quite limited) effect on the economic performance of beneficiary firms, though without having any particular impact both on occupation and on long-term innovation capability.

Suggested Citation

  • Martina Cioni & Davide Conforti, 2007. "The effectiveness of regional policies for innovation: an empirical investigation," Department of Economics University of Siena 508, Department of Economics, University of Siena.
  • Handle: RePEc:usi:wpaper:508
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    File URL: http://repec.deps.unisi.it/quaderni/508.pdf
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    References listed on IDEAS

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    1. Todd M. Gabe & David S. Kraybill, 2002. "The Effect of State Economic Development Incentives on Employment Growth of Establishments," Journal of Regional Science, Wiley Blackwell, vol. 42(4), pages 703-730.
    2. Richard Harris & Mary Trainor, 2005. "Capital Subsidies and their Impact on Total Factor Productivity: Firm-Level Evidence from Northern Ireland," Journal of Regional Science, Wiley Blackwell, vol. 45(1), pages 49-74.
    3. Luigi Cannari & Leandro D'Aurizio & Guido de Blasio, 2007. "The Effectiveness of Investment Subsidies: Evidence from Survey Data," Rivista italiana degli economisti, Società editrice il Mulino, issue 3, pages 329-346.
    4. Bronzini, Raffaello & de Blasio, Guido, 2006. "Evaluating the impact of investment incentives: The case of Italy's Law 488/1992," Journal of Urban Economics, Elsevier, vol. 60(2), pages 327-349, September.
    5. Brown, Marilyn A. & Curlee, T. Randall & Elliott, Steven R., 1995. "Evaluating technology innovation programs: the use of comparison groups to identify impacts," Research Policy, Elsevier, vol. 24(5), pages 669-684, September.
    6. Lee, Jong-Wha, 1996. "Government Interventions and Productivity Growth," Journal of Economic Growth, Springer, vol. 1(3), pages 391-414, September.
    7. Enrico Rettore & Ugo Trivellato & Alberto Martini, 2003. "La valutazione delle politiche del lavoro in presenza di selezione: migliorare la teoria, i metodi o i dati?," Politica economica, Società editrice il Mulino, issue 3, pages 301-342.
    8. Faini, Riccardo & Schiantarelli, Fabio, 1987. "Incentives and Investment Decisions: The Effectiveness of Regional Policy," Oxford Economic Papers, Oxford University Press, vol. 39(3), pages 516-533, September.
    9. Roberto Gabriele & Marco Zamarian & Enrico Zaninotto, 2006. "Assessing the economic impact of public industrial policies: an empirical investigation on subsidies," ROCK Working Papers 039, Department of Computer and Management Sciences, University of Trento, Italy, revised 12 Jun 2008.
    10. James J. Heckman & Hidehiko Ichimura & Petra Todd, 1998. "Matching As An Econometric Evaluation Estimator," Review of Economic Studies, Oxford University Press, vol. 65(2), pages 261-294.
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    More about this item

    Keywords

    Public Subsidies; Regional aid; Industrial Policy; Innovation capability;

    JEL classification:

    • D2 - Microeconomics - - Production and Organizations
    • H2 - Public Economics - - Taxation, Subsidies, and Revenue
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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