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on Technology and Industrial Dynamics |
| By: | Mohammad Movahedi, University of Caen Basse-Normandie - CREM-CNRS, France; Olivier Gaussens, University of Caen Basse-Normandie - CREM-CNRS, France |
| Abstract: | This paper presents an analysis of the relationship between innovation, productivity and exports regarding the SMEs. The main research aim of this study consists in analyzing the hypothesis of firms’ conscious self-selection in the export markets. To measure innovation, we consider the dimensions of technological as well as non technological innovation, as defined by the Oslo Manual (2005). To achieve this, we use the database of SMEs obtained from the survey conducted in the project IDEIS. First, we highlight the existence of export as well as innovation apparent premium, i.e. the advantage of exporting (innovative) firms versus non-exporting (not innovative) ones in terms of productivity. In addition, we demonstrate the effectiveness of the export premium for firms carried out process and organization innovations with the enough exportation. Finally we show the firms’ conscious self-selection in export markets in endogenizing productivity through innovation. |
| Keywords: | Innovation, Productivity, Exportation, Conscious self-selection |
| JEL: | F1 O3 D2 L25 C14 C3 |
| Date: | 2011–09 |
| URL: | http://d.repec.org/n?u=RePEc:tut:cremwp:201123&r=tid |
| By: | Isabel Busom; Beatriz Corchuelo; Ester Martínez-Ros |
| Abstract: | The measurement of the effects that public support to private R&D has on R&D investment and output has attracted substantial empirical research in the last decade. The focus of this research has mostly focused on testing for possible crowding out effects. There is virtually no study aiming at understanding how and why these effects may or may not be occurring. In addition, the effects of the two most common tools of public support, direct funding through grants and loans, and tax incentives, have been studied separately. We contribute to existing work by focusing on the determinants of the use by firms of these two mechanisms and their potential link to sources of market failures. We think this is an important step to assess impact estimates. Using firm-level data from the Spanish Community Innovation Survey (CIS), we find that firms that face financial constraints, as well as newly created firms, are less likely to use R&D tax credits and more likely to apply for and obtain direct public funding. We also find that large firms that care about knowledge protection are more likely to apply for and obtain direct funding, while SMEs are more likely to use tax incentives. Our results show that direct funding and tax credits, as currently designed, are not perfect substitutes because firms are heterogeneous, and suggest that from a social perspective, and provided that crowding out effects can be ruled out for both instruments, some combination of both may be preferable to relying on only one |
| Keywords: | R&D subsidies, R&D tax credits, R&D, CIS, Policy evaluation |
| JEL: | H25 L60 O38 O31 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:cte:idrepe:id-11-03&r=tid |