Due to maintenance work, ssb.no will be unavailable between 5pm and 7pm on Saturday 15 December. We apologise for any inconvenience this may cause.

Discussion Papers no. 878

A Panel Data Study

Public R&D Support and Firms’ Performance

We analyse all the major sources of direct and indirect R&D subsidies in Norway in the period 2002-2013 and compare their effects on individual firms’ performance.

Firms that received support are matched with a control group of firms that did not receive support using a combination of stratification and propensity score matching. Changes in performance indicators before and after support in the treatment group are compared with contemporaneous changes in the control group. We find that the average effects of R&D support among those who obtained grants and/or subsidies are positive and significant in terms of performance indicators related to economic growth: value added, sales revenue and number of employees. The estimated effects are larger for start-up firms than incumbent firms when the effects are measured as relative effects (in percentage points), but smaller when these effects are translated into level effects. Finally, we do not find positive effects on return to total assets or productivity for firms who received support compared with the control group.

About the publication

Title

Public R&D Support and Firms’ Performance. A Panel Data Study

Author

Øivind A. Nilsen, Arvid Raknerud and Diana-Cristina Iancu

Series and number

Discussion Papers no. 878

Publisher

Statistisk sentralbyrå

Topic

Discussion Papers

ISSN

1892-753X

Number of pages

33

About Discussion Papers

Discussion papers comprise research papers intended for international journals and books. A preprint of a Discussion Paper may be longer and more elaborate than a standard journal article as it may include intermediate calculations, background material etc.

Contact