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Natural resource dependence and government-guided social forces participation in R&D investment: An analysis of the resource curse hypothesis

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  • Li, Beili
  • Fan, Xu
  • Li, Jianjiang

Abstract

The study investigates the relationship between government R&D subsidies, natural resource dependence, and intellectual property protection on social investment in R&D using data from 30 Chinese regions between 2009 and 2021. The results show that government R&D subsidies and intellectual property protection significantly inhibit the increase in social R&D investment. Likewise, the interaction term of the two can positively affect social R&D investment. Natural resource dependence positively moderates the impact of government R&D subsidies on social R&D investment, i.e., it exacerbates the inhibiting effect of government R&D subsidies on social R&D investment and thereby discards the “resource curse” hypothesis. Natural resource dependence does not affect the relationship between intellectual property protection and social R&D investment. The increase of government R&D subsidies in the eastern region has no significant effect on social R&D investment. In contrast, increasing government R&D subsidies in the central and western regions significantly inhibits social R&D investment. Intellectual property protection negatively affects social R&D investment across different regions, and this inhibitory effect is more significant in the eastern and central regions and negligible in the western region. The combined effect of government R&D subsidies and intellectual property protection on social R&D investment remains consistent with the national dimension in the Eastern and Western regions. In contrast, the reverse effect is observed in the central region. These findings offer valuable suggestions.

Suggested Citation

  • Li, Beili & Fan, Xu & Li, Jianjiang, 2024. "Natural resource dependence and government-guided social forces participation in R&D investment: An analysis of the resource curse hypothesis," Resources Policy, Elsevier, vol. 89(C).
    • Handle: RePEc:eee:jrpoli:v:89:y:2024:i:c:s0301420723012308
    DOI: 10.1016/j.resourpol.2023.104519
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