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Funding of science: A comparison of approaches and outcomes in Russia and Germany

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  • L. I. Tsedilin

Abstract

Russia and Germany use fundamentally different models of science funding. Russian government has inherited planning and distribution system’s principles in this sphere, when the development of the military-industrial complex was an absolute priority. The modern Russian model of R&D financing is also characterized by the predominance of the state research funding and insignificant business participation in R&D investment. The German model of science financing with the predominance of the business sector in the structure of investment in science shows more significant results and contributes more to the transformation of science into a real productive force. These fundamental differences directly affect the export performance of high-tech products (in Germany it is 20 times higher). The comparison of approaches to R&D financing and the results of their application lead to the conclusion that it is necessary to reform the Russian model of financing usage.

Suggested Citation

  • L. I. Tsedilin, 2021. "Funding of science: A comparison of approaches and outcomes in Russia and Germany," Voprosy Ekonomiki, NP Voprosy Ekonomiki, issue 2.
    • Handle: RePEc:nos:voprec:y:2021:id:2999
    DOI: 10.32609/0042-8736-2021-2-147-160
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