Detecting Behavioural Additionality - an Empirical Study on the Impact of Public R&D Funding on Firms' Cooperative Behaviour in Germany

31 Pages Posted: 15 Jun 2006 Last revised: 26 Aug 2008

See all articles by Birgit Aschhoff

Birgit Aschhoff

ZEW – Leibniz Centre for European Economic Research

Andreas Fier

Deutsche Telekom AG

Heide Löhlein

ZEW – Leibniz Centre for European Economic Research

Date Written: 2006

Abstract

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.

Keywords: Public Funding, Firm Behaviour, Policy Evaluation, R&D Co-operation

JEL Classification: O32, O38, H32, L22, C20

Suggested Citation

Aschhoff, Birgit and Fier, Andreas H. and Löhlein, Heide, Detecting Behavioural Additionality - an Empirical Study on the Impact of Public R&D Funding on Firms' Cooperative Behaviour in Germany (2006). ZEW - Centre for European Economic Research Discussion Paper No. 06-037, Available at SSRN: https://ssrn.com/abstract=908211 or http://dx.doi.org/10.2139/ssrn.908211

Birgit Aschhoff (Contact Author)

ZEW – Leibniz Centre for European Economic Research ( email )

P.O. Box 10 34 43
L 7,1 D-68161 Mannheim
Germany
+49 621 1235 182 (Phone)
+49 621 1235 170 (Fax)

Andreas H. Fier

Deutsche Telekom AG ( email )

Friedrich Ebert Allee 140
Bonn, 53113
Germany
+49 228 181 99520 (Phone)
+49 621 181 99599 (Fax)

HOME PAGE: http://www.telekom.de

Heide Löhlein

ZEW – Leibniz Centre for European Economic Research ( email )

P.O. Box 10 34 43
L 7,1 D-68161 Mannheim
Germany
+49 621 1235 179 (Phone)
+49 621 1235 170 (Fax)

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