IDEAS home Printed from https://ideas.repec.org/a/eee/respol/v39y2010i4p549-563.html
   My bibliography  Save this article

Public selection and financing of R&D cooperative projects: Credit versus subsidy funding

Author

Listed:
  • Santamaría, Lluís
  • Barge-Gil, Andrés
  • Modrego, Aurelia

Abstract

In this article we develop an analytical model of the selection process for R&D cooperative projects, to study the factors that motivate public project selection and corresponding funding, using two different financial instruments: subsidies and credits. For this purpose, we propose a three stage empirical strategy to analyse the differential individual effects of several factors on the decisions taken by the public agency. This analysis is based on project level data from cooperative R&D project calls under the Spanish PROFIT initiative, for the period 2000-2003. The main results show that the public agency uses the two financial instruments to address different objectives. First, some projects close to the market are well supported through credits, while basic research projects receive only selective support in the form of subsidies. Second, there is significant diversity in the selection and funding of technological areas. Third, regarding the explicit goal of fostering cooperation, the public agency selectively favours partnerships with universities and technology institutes through the award of subsidies. However, there seems to be less incentive for large consortia. Fourth, there are significant regional differences among financed projects and, also, our data show sharp yearly fluctuations.

Suggested Citation

  • Santamaría, Lluís & Barge-Gil, Andrés & Modrego, Aurelia, 2010. "Public selection and financing of R&D cooperative projects: Credit versus subsidy funding," Research Policy, Elsevier, vol. 39(4), pages 549-563, May.
    • Handle: RePEc:eee:respol:v:39:y:2010:i:4:p:549-563
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0048-7333(10)00025-9
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Manuel Fernández-Esquinas & Irene Ramos-Vielba, 2011. "Emerging forms of cross-sector collaboration in the Spanish innovation system," Science and Public Policy, Oxford University Press, vol. 38(2), pages 135-146, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Beck, Mathias & Junge, Martin & Kaiser, Ulrich, 2017. "Public Funding and Corporate Innovation," IZA Discussion Papers 11196, Institute of Labor Economics (IZA).
    2. Cao, Qinwei & Qiu, Shunli & Huang, Jian, 2022. "Contradiction and mechanism analysis of science and technology input-output: Evidence from key universities in China," Socio-Economic Planning Sciences, Elsevier, vol. 79(C).
    3. Segarra Blasco, Agustí, 1958- & Teruel, Mercedes & Bové Sans, Miquel Àngel, 2014. "A territorial approach to R&D subsidies: Empirical evidence for Catalonian firms," Working Papers 2072/242275, Universitat Rovira i Virgili, Department of Economics.
    4. Martínez-Román, Juan A. & Gamero, Javier & Delgado-González, María de Loreto & Tamayo, Juan A., 2019. "Innovativeness and internationalization in SMEs: An empirical analysis in European countries," Technological Forecasting and Social Change, Elsevier, vol. 148(C).
    5. Silva Filipe & Carreira Carlos, 2017. "Financial Constraints: Do They Matter to Allocate R&D Subsidies?," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 17(4), pages 1-26, October.
    6. Polzin, Friedemann & von Flotow, Paschen & Klerkx, Laurens, 2016. "Addressing barriers to eco-innovation: Exploring the finance mobilisation functions of institutional innovation intermediaries," Technological Forecasting and Social Change, Elsevier, vol. 103(C), pages 34-46.
    7. Silvia Vicente-Oliva & Ángel Martínez-Sánchez & Luis Berges-Muro, 2016. "Enhancing The Outcomes In R&D Collaborative Projects: An Empirical Analysis Of The Middle Ebro Valley In Spain," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(07), pages 1-34, October.
    8. Chapman, Gary & Lucena, Abel & Afcha, Sergio, 2018. "R&D subsidies & external collaborative breadth: Differential gains and the role of collaboration experience," Research Policy, Elsevier, vol. 47(3), pages 623-636.
    9. Sá, Elisabete S. & Pinho, José Carlos M.R. de, 2019. "Effect of entrepreneurial framework conditions on R&D transfer to new and growing firms: The case of European Union innovation-driven countries," Technological Forecasting and Social Change, Elsevier, vol. 141(C), pages 47-58.
    10. Mavrotas, George & Makryvelios, Evangelos, 2021. "Combining multiple criteria analysis, mathematical programming and Monte Carlo simulation to tackle uncertainty in Research and Development project portfolio selection: A case study from Greece," European Journal of Operational Research, Elsevier, vol. 291(2), pages 794-806.
    11. Grilli, Luca & Murtinu, Samuele, 2018. "Selective subsidies, entrepreneurial founders' human capital, and access to R&D alliances," Research Policy, Elsevier, vol. 47(10), pages 1945-1963.
    12. Margareta Stela FLORESCU & Alina ªtefania CREÞU, 2013. "Management of Financial Resources for Scientific Research in Universities in Romania," REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 14(3), pages 415-424, July.
    13. Martínez-Román, Juan A. & Gamero, Javier & Tamayo, Juan A. & Delgado-González, Loreto, 2020. "Empirical analysis of organizational archetypes based on generation and adoption of knowledge and technologies," Technovation, Elsevier, vol. 96.
    14. Materia, V.C. & Pascucci, S. & Kolympiris, C., 2015. "Understanding the selection processes of public research projects in agriculture: The role of scientific merit," Food Policy, Elsevier, vol. 56(C), pages 87-99.
    15. BagheriMoghadam, Naser & Hosseini, Seyed Hossein & SahafZadeh, Mahdi, 2012. "An analysis of the industry–government–university relationships in Iran's power sector: A benchmarking approach," Technology in Society, Elsevier, vol. 34(4), pages 284-294.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Antonio García-Sánchez & Ruth Rama, 2022. "Cooperative innovation and crises: Foreign subsidiaries, state-owned enterprises, and domestic private firms [Directorship Interlocks in Comparative Perspective: The Case of Spain]," Science and Public Policy, Oxford University Press, vol. 49(6), pages 915-927.
    2. R. Sandra Schillo & Jeffrey S. Kinder, 2017. "Delivering on societal impacts through open innovation: a framework for government laboratories," The Journal of Technology Transfer, Springer, vol. 42(4), pages 977-996, August.
    3. Carmen Merchán-Hernández & Oihana Valmaseda-Andia & Manuel Fernández-Esquinas, 2015. "The challenges of connecting science-industry in peripheral regions: researchers' attitudes and organizational and institutional features as determinants," European Planning Studies, Taylor & Francis Journals, vol. 23(12), pages 2600-2620, December.
    4. Ana Fernández-Zubieta & Inés Andújar-Nagore & Sandro Giachi & Manuel Fernández-Esquinas, 2016. "New Organizational Arrangements for Public-Private Research Collaboration," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 7(1), pages 80-103, March.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:respol:v:39:y:2010:i:4:p:549-563. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/respol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.