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cc-by-nc-nd, (c) Duch Brown et al., 2011
Si us plau utilitzeu sempre aquest identificador per citar o enllaçar aquest document: https://hdl.handle.net/2445/116557

The link between public support and private R&D effort: what is the optimal subsidy?

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The effectiveness of R&D subsidies can vary substantially depending on their characteristics. Specifically, the amount and intensity of such subsidies are crucial issues in the design of public schemes supporting private R&D. Public agencies determine the intensities of R&D subsidies for firms in line with their eligibility criteria, although assessing the effects of R&D projects accurately is far from straightforward. The main aim of this paper is to examine whether there is an optimal intensity for R&D subsidies through an analysis of their impact on private R&D effort. We examine the decisions of a public agency to grant subsidies taking into account not only the characteristics of the firms but also, as few previous studies have done to date, those of the R&D projects. In determining the optimal subsidy we use both parametric and non-parametric techniques. The results show a non-linear relationship between the percentage of subsidy received and the firms’ R&D effort. These results have implications for Technology policy, particularly for the design of R&D subsidies that ensure enhanced effectiveness.

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DUCH BROWN, Néstor, GARCIA-QUEVEDO, Jose, MONTOLIO, Daniel. The link between public support and private R&D effort: what is the optimal subsidy?. _IEB Working Paper 2011/12_. [consulta: 24 de gener de 2026]. [Disponible a: https://hdl.handle.net/2445/116557]

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