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on Technology and Industrial Dynamics |
| By: | Mohnen, Pierre (United Nations University, Maastricht Economic and social Research and training centre on Innovation and Technology); Schim van der Loeff, S. (University of Maastricht, Department of Quantitative Economics); Palm, Franz (University of Maastricht, Department of Quantitative Economics); Raymond, Wladimir (University of Maastricht, Department of Quantitative Economics) |
| Abstract: | This paper studies the persistence of innovation and the dynamics of innovation output in Dutch manufacturing using firm data from three waves of the Community Innovation Surveys (CIS), pertaining to the periods 1994-1996, 1996-1998, and 1998-2000. We estimate by maximum likelihood a dynamic panel data type 2 tobit model accounting for individual effects and handling the initial conditions problem. We find that there is no evidence of true persistence in achieving technological product or process innovations, while past shares of innovative sales condition, albeit to a small extent, current shares of innovative sales. |
| Keywords: | Dynamic panel data type 2 tobit, Innovation, Spurious persistence |
| JEL: | C33 C34 O31 |
| Date: | 2006 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:unumer:2006011&r=tid |
| By: | Jens J. Krüger (University of Jena, Faculty of Economics); Kristina Dreßler (University of Jena, Faculty of Economics) |
| Abstract: | In this paper the profitability of German car manufacturing firms is related to different indicators for the knowledge incorporated in the firms since the birth of the industry in 1886. The analysis is performed with an ordered probit model, where information about the kind of exit of the firms is exploited to construct a latent profitability variable. Knowledge is represented by the number of patents, learning-by-doing and entrepreneurial experience before entry. The results show that knowledge is significantly positively related to firm profitability and that each of the three knowledge forms exerts an independent effect. |
| Keywords: | firms profitability, exit modes, knowledge, ordered choice, automobile industry |
| JEL: | L10 L21 L62 O33 C25 |
| Date: | 2006–05–20 |
| URL: | http://d.repec.org/n?u=RePEc:jen:jenasw:2006-15&r=tid |
| By: | Mahlich, Jörg C. (Wirtschaftskammer Österreich); Roediger-Schluga, Thomas (ARC Systems Research) |
| Abstract: | During the past 20 years, the world pharmaceutical industry has experienced a dramatic increase in R&D intensity. We apply and extend a model developed by Grabowski and Vernon (2000) with a pooled data sample of the 15 publicly listed Japanese drug firms for the period 1987 to 1998. As in the reference paper, we find expected returns to be an important determinant of R&D spending in the Japanese drug industry, albeit considerably smaller than in the U.S., which is particularly obvious in the case of returns from newly introduced drugs. However, our results are sensitive to econometric model specification, in particular to controlling for serial correlation and to a dynamic specification of the baseline model. Likewise, estimates on financial constraints are sensitive to model specification, indicating that Japanese drug firms face small or no financial constraints. Our results are consistent with the general literature on R&D investment behaviour, yet raise some methodological questions with regard to the original study. |
| Keywords: | R&D, investment, panel data estimation, pharmaceuticals, Japan |
| JEL: | L65 O31 O33 |
| Date: | 2006 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:unumer:2006015&r=tid |
| By: | Carol Corrado; Wendy Dunn; Maria Otoo |
| Abstract: | We address the construction of price indexes for consumer vehicles using data collected from a national sample of dealerships. The dataset contains highly disaggregate data on actual sales prices and quantities, along with information on customer cash rebates, financing terms, and much more. Using these data, we are able to capture the actual cash and financing incentives taken by consumers, and we demonstrate that their inclusion in measures of consumer vehicle prices is important. We also document other features of retail vehicle markets that interact and overlap with price measurement issues. In particular, we construct vehicle price indexes under different assumptions about what constitutes a "new" product in moving from one model year to the next. For the period that we study (1999 to 2003), a period during which incentives became more widespread and new model introductions rose, our preferred price index drops faster than the CPI for new vehicles. |
| Keywords: | Automobiles - Prices ; Automobile industry and trade |
| Date: | 2006 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedgfe:2006-9&r=tid |