Effectiveness of Direct and Indirect R&D Support

doi:10.1017/9781108529525.004

2 - Effectiveness of Direct and Indirect R&D Support

from Part I - Innovation Policy and Innovation Systems

Published online by Cambridge University Press: 10 August 2018

Pierre Mohnen

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Jorge Niosi

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Jorge Niosi: Affiliation:
Université du Québec, Montréal

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Summary

In the various theories of endogenous or semi-endogenous growth, it is argued that R&D drives productivity growth through increased choice or quality improvements in intermediate inputs or final goods (Grossman and Helpman, 1991; Aghion and Howitt, 1998; Barro and Sala-i-Martin, 2004). Private rates of return to R&D have been estimated to be in the 20 to 30 per cent range (see Hall, Mairesse and Mohnen [2010] for a survey). Ugur, Trushin, Solomon and Guidi (2016), in their meta-analysis of the empirical literature, conclude that the returns are very heterogeneous, maybe lower than the range reported by Hall et al. (2010), but still positive.

Type: Chapter
Information: Innovation Systems, Policy and Management , pp. 53 - 78

DOI: https://doi.org/10.1017/9781108529525.004 [Opens in a new window]

Publisher: Cambridge University Press

Print publication year: 2018

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