Management Control and Innovative Activity

Dirk Czarnitzki and Kornelius Kraft

Review of Industrial Organization, 2004, vol. 24, issue 1, 24 pages

Abstract: This paper discusses theoretically the different incentives of managers versus firm owners to invest in innovative activities. There are opposing effects concerning R & D intensity in the manager-controlled firm. Our study on the determinants of R & D intensity presentsempirical results concerning this question. A sample of German firms with 4,126 observations is used to estimate Tobit and semiparametric censored least absolute deviation (CLAD) models. It turns out that the owner-led firms invest less into R & D than the managerial firms. With respect to the manager-led firms, we have mixed results concerning the question whether expenditures on R & D depend on the control exerted.

Date: 2004
References: Add references at CitEc
Citations: View citations in EconPapers (33)

Downloads: (external link)
http://journals.kluweronline.com/issn/0889-938X/contents (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Management Control and Innovative Activity (2000)
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:revind:v:24:y:2004:i:1:p:1-24

Ordering information: This journal article can be ordered from
http://www.springer. ... on/journal/11151/PS2

Access Statistics for this article

Review of Industrial Organization is currently edited by L.J. White

More articles in Review of Industrial Organization from Springer, The Industrial Organization Society Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().