Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. ABSTRACT A large body of literature on the estimation of private returns to R&D adopts the Griliches knowledge production framework, ignoring the impact omitted spillover effects may have on consistent estimation. A separate body of literature is primarily interested in the presence and magnitude of spillovers but imposes a rigid ad hoc structure on the channels these can take, e.g. within-industry, within-country or determined by industry input-output matrices. In this paper we adopt a common factor approach which accounts for R&D spillovers without imposing any arbitrary structure on their nature and channels. At the same time we can account for other unobserved common processes which may affect countries or sectors differentially, e.g. economic shocks or business cycles, as well as heterogeneous evolution of TFP over time. Panel data from 12 industrial sectors of 12 OECD and EU countries (1980-2005) is used to arrive at unbiased estimates of private returns to R&D. Our results indicate the presence of substantial cross-sectional dependence in the residuals of the Griliches knowledge production function, pointing to the presence of knowledge spillovers. Further, our estimations suggest that when ignoring the presence of spillovers, R&D produces positive returns. However, when cross-sectional dependence is accounted for, we do not find any convincing evidence for positive private returns to R&D. These results suggest that spillovers may not be additively separable from own-R&D and need to be accounted for in the estimation even when the exclusive interest lies in obtaining estimates for private returns to R&D. Terms of use: Documents in
for their comments and input during the preparation of the study. The collaboration and the expertise of Paulo Santiago and Thomas Wecko were also particularly useful, as well as comments we received from other colleagues of the OECD Directorate for Education. The comments of Paul Swain and Sven Blondal were particular useful to prepare the final version of this article. The views expressed here are those of the authors and do not necessarily represent those of the OECD or its member countries.
Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. ABSTRACT A large body of literature on the estimation of private returns to R&D adopts the Griliches knowledge production framework, ignoring the impact omitted spillover effects may have on consistent estimation. A separate body of literature is primarily interested in the presence and magnitude of spillovers but imposes a rigid ad hoc structure on the channels these can take, e.g. within-industry, within-country or determined by industry input-output matrices. In this paper we adopt a common factor approach which accounts for R&D spillovers without imposing any arbitrary structure on their nature and channels. At the same time we can account for other unobserved common processes which may affect countries or sectors differentially, e.g. economic shocks or business cycles, as well as heterogeneous evolution of TFP over time. Panel data from 12 industrial sectors of 12 OECD and EU countries (1980-2005) is used to arrive at unbiased estimates of private returns to R&D. Our results indicate the presence of substantial cross-sectional dependence in the residuals of the Griliches knowledge production function, pointing to the presence of knowledge spillovers. Further, our estimations suggest that when ignoring the presence of spillovers, R&D produces positive returns. However, when cross-sectional dependence is accounted for, we do not find any convincing evidence for positive private returns to R&D. These results suggest that spillovers may not be additively separable from own-R&D and need to be accounted for in the estimation even when the exclusive interest lies in obtaining estimates for private returns to R&D. Terms of use: Documents in
This paper assesses how policies and institutions affect private returns to invest in tertiary human capital, the ability of individuals to finance this investment and the institutional characteristics of tertiary education systems. Focusing on core tertiary education services, the paper presents new measures of private returns to tertiary education, the institutional setting for supplying tertiary education and the availability of individual financing in OECD countries. Using a panel of 19 countries, the number of new tertiary graduates (a proxy for investment in tertiary education) is regressed on these new proposed measures, as well as other standard determinants of investment in tertiary education. The resulting estimates are used to assess empirically the relative importance of several education, taxation and social policies affecting investment in tertiary education. Several avenues for reform and the trade-offs they present for public policy are discussed. L'impact des politiques économiques sur l'investissement en éducation supérieure Cette étude examine comment les politiques économiques et les institutions affectent le rendement privé de l’éducation supérieure, la possibilité pour les individus de financer cet investissement et les caractéristiques institutionnelles de l’offre d’enseignement supérieur. Se concentrant sur les services de l’éducation supérieure proprement dite, l’étude présente des nouvelles mesures des rendements privés de l’éducation supérieure, le contexte institutionnel de l’offre d’enseignement supérieur et la disponibilité de financement individuel pour les pays de l’OCDE. Utilisant un panel sur 19 pays, le nombre harmonisé de nouveaux diplômés (une approximation de l’investissement dans l’enseignement supérieur) est régressé sur ces nouvelles mesures ainsi que sur d’autres déterminants standards de l’investissement en éducation supérieure. Les estimations qui en résultent sont utilisées pour évaluer empiriquement l’importance relative des différentes politiques ayant trait à l’éducation, à la fiscalité ou dans le domaine social et ayant un impact sur l’investissement en enseignement supérieur. Plusieurs options de réforme et les arbitrages qu’elles représentent pour la politique économique sont discutées.Investment in tertiary education, returns to education, Supply of tertiary education, student individual financing systems and taxation, Rendements de l’éducation, Offre d’éducation supérieure, Financement individuel pour les étudiants et fiscalité, Investissement en éducation supérieure
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