Crowding in or crowding out? Evidence from discontinuity in the assignment of business R&D subsidies

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F67985998%3A_____%2F25%3A00636253" target="_blank" >RIV/67985998:_____/25:00636253 - isvavai.cz</a>

Nalezeny alternativní kódy

RIV/00216208:11230/25:10510480 RIV/00216208:11640/25:00646388

Výsledek na webu

<a href="https://doi.org/10.1016/j.jpubeco.2025.105357" target="_blank" >https://doi.org/10.1016/j.jpubeco.2025.105357</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1016/j.jpubeco.2025.105357" target="_blank" >10.1016/j.jpubeco.2025.105357</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Crowding in or crowding out? Evidence from discontinuity in the assignment of business R&D subsidies

Popis výsledku v původním jazyce

We employ a regression discontinuity design to study the effects of a flagship business R&D subsidy programme in the Czech Republic on R&D investment, patenting and economic performance of the supported firms. The R&D subsidies stimulated R&D expenditure in small and medium-sized enterprises (SMEs) but not in large firms. In SMEs, public funding succeeded in crowding in private R&D investment, and 1 unit of public subsidy was associated with about 2.3 units of additional R&D expenditure. The positive effects on R&D expenditure of SMEs were sustained after the original projects ended, possibly thanks to subsequent subsidies from the same funding provider. Supported SMEs also saw their sales increase in the short term, but we do not observe any positive effects of the support on patenting, employment or longer-term sales and productivity. We find evidence that the subsidies crowded out private R&D expenditure in large firms and financing constraints played an important role in explaining the effect heterogeneity.

Název v anglickém jazyce

Crowding in or crowding out? Evidence from discontinuity in the assignment of business R&D subsidies

Popis výsledku anglicky

We employ a regression discontinuity design to study the effects of a flagship business R&D subsidy programme in the Czech Republic on R&D investment, patenting and economic performance of the supported firms. The R&D subsidies stimulated R&D expenditure in small and medium-sized enterprises (SMEs) but not in large firms. In SMEs, public funding succeeded in crowding in private R&D investment, and 1 unit of public subsidy was associated with about 2.3 units of additional R&D expenditure. The positive effects on R&D expenditure of SMEs were sustained after the original projects ended, possibly thanks to subsequent subsidies from the same funding provider. Supported SMEs also saw their sales increase in the short term, but we do not observe any positive effects of the support on patenting, employment or longer-term sales and productivity. We find evidence that the subsidies crowded out private R&D expenditure in large firms and financing constraints played an important role in explaining the effect heterogeneity.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

50202 - Applied Economics, Econometrics

Projekt

<a href="/cs/project/GA24-11566S" target="_blank" >GA24-11566S: Využití unikátních mikrodat pro studium účinků veřejné podpory pro firemní VaV</a><br>

Návaznosti

I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Rok uplatnění

2025

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

Journal of Public Economics

ISSN

0047-2727

e-ISSN

0047-2727

Svazek periodika

245

Číslo periodika v rámci svazku

May

Stát vydavatele periodika

NL - Nizozemsko

Počet stran výsledku

27

Strana od-do

105357

Kód UT WoS článku

001470176500001

EID výsledku v databázi Scopus

2-s2.0-105002437789