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University-Industry Collaborations in European regions: the Effect of Business Cycle on diversification

Author

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  • Aurelien Quignon

    (ICN Business School, CEREFIGE - Centre Européen de Recherche en Economie Financière et Gestion des Entreprises - UL - Université de Lorraine)

Abstract

This paper explores the effect of the business cycle on university-industry collaborations and technological diversification within 218 European regions from 1990 to 2018. I find that university-industry collaborations increase during economic expansions, with the most pronounced effects observed in the exploitation of technologies already known to the region. In contrast, the exploration of new technologies is also positively associated with economic growth, albeit to a lesser extent. The analysis further shows that the effects of R&D investments on university-industry collaborations vary by sector over phases of the business cycle: private sector R&D expenditures are countercyclical, driving collaboration during recessions, while government R&D spending is procyclical, supporting exploratory activities during economic booms.

Suggested Citation

  • Aurelien Quignon, 2025. "University-Industry Collaborations in European regions: the Effect of Business Cycle on diversification," Working Papers hal-05011843, HAL.
    • Handle: RePEc:hal:wpaper:hal-05011843
    Note: View the original document on HAL open archive server: https://hal.science/hal-05011843v1
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