Who Gets the Money? The Dynamics of R&D Project Subsidies in Germany

Birgit Aschhoff

ZEW Discussion Papers from ZEW - Leibniz Centre for European Economic Research

Abstract: This paper looks at which firms receive R&D project grants and how this public support evolves over time by considering in particular firm's previous participation. The question of the allocation of public R&D funding is becoming particularly important when it comes to identifying the effects of subsidies. Using firm-level data on German manufacturing and knowledge-intensive service firms, it turns out that participation in the funding scheme shows a rather high level of continuity. This is also confirmed by applying a multivariate approach. Firms who received funding in the past are more likely to be selected for public funding again. Moreover, a firm's size and knowledge capabilities increase the probability of entering the scheme. It is also revealed that in an analysis of the allocation of grants it is important to control for the overall supply of corresponding subsidies.

Keywords: R&D; Public Subsidies; Program Participation; Germany (search for similar items in EconPapers)
JEL-codes: C20 H32 O38 (search for similar items in EconPapers)
Date: 2009
New Economics Papers: this item is included in nep-ino, nep-ipr, nep-pr~, nep-ppm and nep-sbm
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

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Journal Article: Who Gets the Money?: The Dynamics of R&D Project Subsidies in Germany (2010)
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:zewdip:08018r

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