Detecting Behavioural Additionality : An Empirical Study on the Impact of Public R&D Funding on Firms’ Cooperative Behaviour in Germany

Research, Preprint English OPEN
Aschhoff, Birgit ; Fier, Andreas ; Löhlein, Heide (2006)
  • Publisher: Mannheim: Zentrum für Europäische Wirtschaftsforschung (ZEW)
  • Subject: Business Network | Wirtschaftspolitische Wirkungsanalyse | Public Funding | Deutschland | H32 | O32 | Forschungskooperation | O38 | Firm Behaviour | Policy Evaluation | Schätzung | R&D Co-operation | C20 | Forschungssubvention | 330 Wirtschaft | H25 | L22 | L24 | Public Funding,Firm Behaviour,Policy Evaluation,R&D Co-operation
    • jel: jel:C20 | jel:O38 | jel:O32 | jel:H32 | jel:L22 | jel:H25 | jel:L24
      ddc: ddc:330

Subsidising research networks has become a popular instrument in technology policies, driven mainly by expected positive spillovers. In particular, the stimulation of R&D co-operation between scientific institutions and industry is considered as most promising. In the context of policy evaluation we analyse if public R&D funding is suitable for influencing firms' collaborative behaviour in the intended way and where applicable, if a lasting change results. The empirical analysis is based on German CIS data and a supplemental telephone survey. Using a nearest-neighbour matching approach we find that R&D funding is indeed a particularly valuable tool for the linking of science into industry R&D partnerships. However, we also show in a bivariate probit analysis that newly initiated R&D co-operations with science are less likely to be continued after funding has ended compared to already existing co-operations. Therefore, the behavioural change induced by public funding is not necessarily longlived.
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