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on Technology and Industrial Dynamics |
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Issue of 2013‒10‒18
seven papers chosen by Fulvio Castellacci Norwegian Institute of International Affairs (NUPI) |
| By: | Stephan, Andreas (Ratio & JIBBS) |
| Abstract: | The main purpose of this paper is to analyse whether research spin-offs, that is, spinoffs from either public research institutes or universities, have greater innovation capabilities than comparable knowledge-intensive firms created in other ways. Using a sample of about 2,800 firms from highly innovative sectors, propensity score matching is used to create a sample group of control firms that is comparable to the group of spin-offs. The paper provides evidence that the 121 research spin-offs investigated have more patent applications and more radical product innovations, on average, compared to similar firms. The results also show that research spin-offs’ superior innovation performance can be explained by their high level of research cooperation and by location factors. An urban region location and proximity to the parent institution are found to be conducive to innovation productivity. The paper also finds evidence that research spin-offs are more successful in attracting support from public innovation support programs in comparison to their peers. |
| Keywords: | Spin-Offs; Innovation Performance; Propensity Score Matching; Location Factors; Cooperation; Public R&D Subsidies |
| JEL: | M13 O18 |
| Date: | 2013–10–08 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:ratioi:0222&r=tid |
| By: | Siping Luo; Mary E. Lovely; David Popp |
| Abstract: | We offer new evidence on indigenous innovation and intellectual returnees by estimating the relationship between patenting by Chinese photovoltaic firms and the presence of corporate leaders with international experience. Our research approach combines data from three sources: the industrial census, international and domestic patent records, and leadership biographical information. Using nonlinear methods, we find robust evidence that returnees positively influence patenting activity and also promote neighboring firm innovation. We find no tendency for export intensive firms to patent more. Controlling for R&D expenditures, we find that firms with returnees in leadership roles have more patents. |
| JEL: | O30 O31 O32 Q42 Q55 |
| Date: | 2013–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:19518&r=tid |
| By: | Chien-Yu Huang (School of Economics, Southwest University of Finance and Economics, China); Juin-Jen Chang (Institute of Economics, Academia Sinica, Taipei, Taiwan); Lei Ji (School of Economics, Shanghai School of Economics and Finance, China) |
| Abstract: | In this paper we explore the effects of monetary policy on the number of firms, firm market size, ination and growth in a Schumpeterian growth model with endogenous market structure and cash-in-advance (CIA) constraints on two distinct types of R&D investment - in-house R&D and entry investment. This allows us to match empirical evidence and provides novel implications to the literature. We show that if in-house R&D (quality improvement-type R&D) is subject to the CIA constraint, raising the nominal interest rate increases the the number of rms and ination, but decreases the rm size and economic growth. By contrast, if entry investment (variety expansion-type R&D) is subject to the CIA constraint, these variables adversely respond to such a monetary policy. Besides, our model generates rich transitional dynamics in response to a change in monetary policy, when R&D/entry is restricted by a cash constraint. |
| Keywords: | CIA constraints on R&D, endogenous market structure, monetary policy, economic growth |
| JEL: | O30 O40 E41 |
| Date: | 2013–09 |
| URL: | http://d.repec.org/n?u=RePEc:sin:wpaper:13-a009&r=tid |
| By: | H. T. Tran; E. Santarelli |
| Abstract: | This paper investigates the determinants of innovative activities and the innovation-performance relationship for the firm population in Vietnam in three consecutive stages: decision – investment – outcome. Cragg’s two-tiered dynamic type-2 Tobit model and instrumental variable GMM method are applied to control for the selectivity and endogeneity of R&D and innovation. After controlling for ownership types, industry and regional fixed-effects, key findings include: (i) R&D and innovation activities not only stimulate firms’ profitability and growth of sales, but also increase their survival propensity; (ii) private innovative firms significantly outperform their peers whereas the combination of young, small, and innovative characteristics in young innovative companies (YICs) does not bring the expected higher entrepreneurial performance as how it works in advanced countries; (iii) highly-leveraged firms, exporting firms, and diversified firms are more likely to be innovative than their counterparts, but the ability to transform innovative efforts into higher profitability and growth can only be witnessed among diversified firms; and (iv) firms being endowed with larger asset pool have more favorable conditions to engage in innovation activities, but do not necessarily produce superior performance relatively to their smaller counterparts. However, firm labor size is positively associated with both R&D intensity and entrepreneurial performance of firms. The dataset of population of existing firms (from 2000 to 2005) extracted from the annual enterprise survey conducted by Vietnam General Statistics Organization (GSO) is used for the empirical analysis. |
| JEL: | O32 O33 O53 L25 |
| Date: | 2013–10 |
| URL: | http://d.repec.org/n?u=RePEc:bol:bodewp:wp909&r=tid |
| By: | Allen, Stuart D. (University of North Carolina at Greensboro, Department of Economics); Link, Albert N. (University of North Carolina at Greensboro, Department of Economics) |
| Abstract: | In the United States, as in most industrialized nations, aggregate technological advancement declined during the 1970s and early 1980s. The U.S. Congress was quick to respond to this down turn by passing a number of technology- and innovation-related initiatives, one of which was the National Cooperative Research Act (NCRA) of 1984. It has been argued that this policy response is an example of government acting as entrepreneur because the enabling legislation was both innovative and characterized by entrepreneurial risk. In this paper we examine empirically covariates with the trend in the formation of research joint ventures (RJVs) promulgated by the NCRA and with the probability that a RJV will have an international research partner. We find that RJV formations seem to increase in times when industrial investments in research and development (R&D) decrease, and we conclude that RJVs might thus be a substitute for internal R&D activity. We also find that the probability of a RJV having an international research partner increases as the membership size of the RJV increases. We conclude that as membership size increases, the ability of any one member to appropriate the collective research contributions from the other members, and thus gain a competitive advantage, decreases. Thus, the cost of including in the RJV an international partner, which we argue could represent a potential intellectual capital leakage, decreases. |
| Keywords: | Research joint venture; Strategic alliance; Technology; Innovation; Technological change; Entrepreneurship |
| JEL: | L26 L44 O33 O34 O38 |
| Date: | 2013–10–04 |
| URL: | http://d.repec.org/n?u=RePEc:ris:uncgec:2013_015&r=tid |
| By: | Sovinsky, Michelle (Department of Economics, University of Warwick & The University of Zurich); Eric Helland (Claremont McKenna College) |
| Abstract: | Every year thousands of firms are engaged in research joint ventures (RJV), where all knowledge gained through R&D is shared among members. Most of the empirical literature assumes members are non-cooperative in the product market. But many RJV members are rivals leaving open the possibility that firms may form RJVs to facilitate collusion. We examine this by exploiting variation in RJV formation generated by a policy change that affects the collusive benefits but not the research synergies associated with a RJV. We use data on RJVs formed between 1986 and 2001 together with firm-level information from Compustat to estimate a RJV participation equation. After correcting for the endogeneity of R&D and controlling for RJV characteristics and firm attributes, we find the decision to join is impacted by the policy change. We also find the magnitude is significant: the policy change resulted in an average drop in the probability of joining a RJV of 34% among telecommunications firms, 33% among computer and semiconductor manufacturers, and 27% among petroleum refining firms. Our results are consistent with research joint ventures serving a collusive function. JEL classification: research and development ; research joint ventures ; antitrust policy ; collusion JEL codes: L24 ; L44 ; K21 ; O32 |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:wrk:warwec:1030&r=tid |
| By: | Mariagrazia Squicciarini; Hélène Dernis |
| Abstract: | This work proposes a characterisation of the patenting behaviours of firms. It relies on patent data linked to firm data from a commercial dataset, regards firms of 20 or more employees located in 15 countries, and refers to the period 1999-2010. The way in which patent assignees’ names are linked to firm names is explained, and the coverage and representativeness of the firm database used is discussed using information from structural business statistics. The profile of patenting and non-patenting firms is delineated on the basis of characteristics such as firm size, ownership, firm age and industry, and of combinations thereof. Statistics related to the sector-specific patterns of patent renewals are also shown. |
| Date: | 2013–09–10 |
| URL: | http://d.repec.org/n?u=RePEc:oec:stiaaa:2013/5-en&r=tid |