Measuring the effects of public support schemes on firms’ innovation activities

Partnering Universities and Companies in Russia: Effects of New Government Initiative

“…At the same time the authors have discovered that the learning effect becomes less important with the growing number of projects implementedby the company with the support from the federal budget. This somewhat contradicts to the conclusions of other experts who generally positively assessed the influence of repeated support procedures (Falk, 2006;Aschhoff, 2009). …”

“…Priority in research was given not that much to numerical effects of company activities, as to changes in their behavioral pattern with regard to innovations. On the basis of studies of 1,200 Austrian firms conducted in 2003, Falk (2006) undertook an integrated analysis of effects with emphasis on changes in their behavior. It was noted that large firms demonstrate more often positive changes in their behavior.…”

“…In terms of assessing possible demonstration effects it is important to note that in his studies Falk (2006) identified some positive effects already at the stage when firm applies for subsidy (even if later the application is rejected). For some firms the very participation in the competition serves as additional motivation to pay more attention to relevant issues.…”

Economic analysis of innovation tax incentives in Brazil: essays on the impacts of law 11,196/05 on industrial innovation

“…In addition to the effects on innovation inputs and outputs, policies can also influence how firms perform R&D (Falk, 2007;OECD, 2006b). Based on the idea of 'behavioral additionality' (Georghiou, 1994;and Buisseret, Cameron & Georghiou, 1995) more recent studies tried to estimate the impact of policies on the composition of private investment.…”

“…The importance of the behavioral approach lies in the fact that the traditional concepts of input and output additionality do not sufficiently describe the impact of public policies on the innovation process (Falk, 2007). The main idea is to open the "R&D black box" to identify the channels through which government subsidies and incentives alter private innovation.…”