Swedish Business R&D and its Export Dependence
Karin Bergman and
Olof Ejermo
No 2011/5, Papers in Innovation Studies from Lund University, CIRCLE - Centre for Innovation Research
Abstract:
Sweden has seen a rise in business R&D intensities and dependence on exports to make its economy grow since the early 1990s. This paper examines the role of foreign sales for stimulating R&D as compared to a domestic sales effect. In line with the literature, we find in cross-sections from 1991 to 2001 that R&D rises proportionally to sales. But among manufacturing firms foreign sales is distinctly more strongly associated with an increase in R&D than domestic sales. For service firms domestic sales are as important as foreign. The results are consistent with the hypotheses that manufacturing firms more easily separate production from R&D, that they economize on transport costs and are subject to learning-by-export effects. In general, the results highlight the dependence and the role of openness for stimulating R&D in a small economy, especially among manufacturing firms.
Keywords: R&D; size; exports; Sweden (search for similar items in EconPapers)
JEL-codes: O32 (search for similar items in EconPapers)
Pages: 33 pages
Date: 2011-08-23
New Economics Papers: this item is included in nep-cse, nep-ino, nep-int and nep-sbm
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Working Paper: Swedish Business R&D and its Export Dependence (2011) 
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Persistent link: https://EconPapers.repec.org/RePEc:hhs:lucirc:2011_005
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