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Working papers n°1 - Government assistance to enterprises in R & D and innovation: how effective?

Working papers n°1 - Government assistance to enterprises in R & D and innovation: how effective?

05/01/11

Innovation and research and development (R & D) is more than ever the key issues for the European countries, especially to strengthen their economic growth potential.

In this perspective and in the context of public budgets increasingly constrained, it is appropriate to question the effectiveness of public subsidies to stimulate investment in R & D and business innovation. To this end, this text falls primarily on the reasons for the existence of such public support, before analyzing the major types of aid in the matter (direct aid and indirect aid to such credit Research tax), in terms of their merits and defects.

It then presents the results of some of the work on this on a sample of comparable countries, mainly in Europe. In particular, he takes stock of the econometric estimates that evaluated the effects of public support for private R & D. It shows that beyond, we must ensure that this aid fit coherently into a more
wide for innovation.

  • Keywords : research and development, innovation, subsidies, tax incentives, public policy evaluation.
  • Author : Rémi Lallement, Department of Economics - Finance

 


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