Radical or incremental? Where does R&D policy hit?

M Beck, Cindy Lopes-Bento, A Schenker-Wicki

Research output: Contribution to journalArticleAcademicpeer-review

2 Citations (Scopus)

Abstract

This study investigates the impact and effectiveness of a public R&D support policy. In a policy design that aims at incentivizing radical as well as incremental innovations, we test where the policy impact is highest. While the privately motivated R&D expenditures are significant for both types of innovation, the policy-induced part is significant only for radical innovation. Furthermore, given that the funding agency encourages collaboration, and particularly industry-science collaboration, we further test whether effects are enhanced in collaborating firms. We do not find any evidence pointing to increased effects for the latter. (C) 2016 Elsevier B.V. All rights reserved.

Original languageEnglish
Pages (from-to)869-883
Number of pages15
JournalResearch Policy
Volume45
Issue number4
DOIs
Publication statusPublished - May 2016

Keywords

  • R&D subsidies
  • Collaborative innovation
  • Innovation performance
  • Radical innovation
  • Incremental innovation
  • Policy evaluation
  • Treatment effects
  • MICROECONOMETRIC EVALUATION
  • DEVELOPMENT COLLABORATION
  • INNOVATION PERFORMANCE
  • ABSORPTIVE-CAPACITY
  • DEVELOPMENT GRANTS
  • EMPIRICAL-EVIDENCE
  • FIRM PERFORMANCE
  • PUBLIC SUBSIDIES
  • PROPENSITY SCORE
  • COOPERATION

Cite this

Beck, M., Lopes-Bento, C., & Schenker-Wicki, A. (2016). Radical or incremental? Where does R&D policy hit? Research Policy, 45(4), 869-883. https://doi.org/10.1016/j.respol.2016.01.010