Working Paper 08-14 - Public support for R&D and the educational mix of R&D employees

André Spithoven, Belgian Science Policy Office and Ghent University, Michel Dumont and Peter Teirlinck, Belgian Science Policy Office and KU Leuven

Working Papers from Federal Planning Bureau, Belgium

Abstract: In this paper we assess the impact of public support for R&D activities on the educational mix of R&D employees in private companies in Belgium, covering the period 2001-2009. Data on federal tax incentives in support of R&D activities are matched with R&D survey data to investigate changes in the share of R&D employees with a specific degree: PhDs; higher education (second stage and first stage respectively); and other qualifications. Estimations show that public support significantlyraises the share of researchers holding a PhD. There are indications that PhDs substitute for R&D employees with a lower degree. We also show that controlling for the changes in the educational mix of R&D personnel lowers the estimates of the impact of public support on the average wages of researchers.

JEL-codes: H32 O32 O38 (search for similar items in EconPapers)
Date: 2014-10-30
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