Should Finland Introduce an R&D Tax Credit? Reflections Based on Norwegian R&D Tax Policy

No 1097, Discussion Papers from The Research Institute of the Finnish Economy

Abstract: ABSTRACT : Subsidies to commercial R&D can be given as R&D tax credits or through direct grants. Tax incentives have become an increasingly popular policy tool over the last decades. In this note I discuss the pros and cons of the two forms of subsidies in light of Norway’s experience with R&D policy. I review an ongoing evaluation of the Norwegian R&D tax credit introduced in 2002 and reflect on whether it is desirable for Finland to introduce a similar scheme. I suggest that this is not desirable. If Finland introduces an R&D tax credit, I argue that it should be limited to small and medium sized companies. PITÄISIKÖ SUOMEN OTTAA KÄYTTÖÖN T&K :N VEROKANNUSTIMET? POHDINTAA NORJAN TEKNOLOGIAPOLITIIKASTA SAATUIHIN KOKEMUKSIIN PERUSTUEN

JEL-codes: H25 O38 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eec, nep-ino and nep-pbe
Date: Written 2007-06-12

Downloads: (external link)
http://www.etla.fi/files/1810_Dp1097.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Ordering information: This working paper can be ordered from

Access Statistics for this paper

More papers in Discussion Papers from The Research Institute of the Finnish Economy
Contact information at EDIRC.
Series data maintained by Kaija Hyvönen-Rajecki ().