Does research and development expenditure impact innovation? theory, policy and practice insights from the Greek experience

Ioannis Voutsinas (), Constantinos Tsamadias (), Elias Carayannis () and Christos Staikouras ()
Additional contact information
Ioannis Voutsinas: Bank of Greece
Constantinos Tsamadias: Harokopio University
Elias Carayannis: George Washington University
Christos Staikouras: Athens University of Economics and Business

The Journal of Technology Transfer, 2018, vol. 43, issue 1, No 8, 159-171

Abstract: Abstract This study empirically investigates the causal relationship between research and development (R&D) expenditure and innovation in Greece, during the period 1981–2009. It uses time series analysis, the theoretical background of the endogenous knowledge-based growth theories and the annual number of patent applications to the European Patent Organization as proxy of innovation activity. The Johansen method is applied to examine the possibility of co-integration. The results confirm the presence of a long-run relationship between R&D expenditure and innovation. The total and private R&D expenditure appear to have a positive effect on total and business innovation. In addition, the public R&D expenditure has a positive influence on business and total innovation, which indicates the existence of significant externalities of public sector research. The long-run elasticity of innovation with respect to R&D expenditure is estimated to be, on average, 1.9. Implications for public policies and related practices are formulated.

Keywords: Expenditure; Research and development; Innovation; Public policy; Greece (search for similar items in EconPapers)
JEL-codes: O23 O30 O38 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (10)

Downloads: (external link)
http://link.springer.com/10.1007/s10961-015-9454-3 Abstract (text/html)
Access to full text is restricted to subscribers.

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

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:jtecht:v:43:y:2018:i:1:d:10.1007_s10961-015-9454-3

Ordering information: This journal article can be ordered from
http://www.springer. ... nt/journal/10961/PS2

DOI: 10.1007/s10961-015-9454-3

Access Statistics for this article

The Journal of Technology Transfer is currently edited by Albert N. Link, Donald S. Siegel, Barry Bozeman and Simon Mosey

More articles in The Journal of Technology Transfer from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().