Modeling R&D investment decision of ISE listed firms: A sample selection approach

Ucdogruk Y.

IKTISAT ISLETME VE FINANS, cilt.25, sa.289, ss.29-45, 2010 (SSCI) identifier

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 25 Sayı: 289
  • Basım Tarihi: 2010
  • Doi Numarası: 10.3848/iif.2010.289.2581
  • Dergi Adı: IKTISAT ISLETME VE FINANS
  • Derginin Tarandığı İndeksler: Social Sciences Citation Index (SSCI)
  • Sayfa Sayıları: ss.29-45
  • Anahtar Kelimeler: R&D, Public support, Sample selection, INNOVATION, MARKET, SPECIFICATION, PRODUCTIVITY, PERFORMANCE, LOCATION
  • Dokuz Eylül Üniversitesi Adresli: Evet

Özet

There are a large number of studies on the drivers of R&D investment, only a few of them deal with "selection bias" problem resulting from performers not being a random sample from the population of firms. As most of the firms especially in developing countries like Turkey, due to market failures and underdeveloped financial markets. do not invest in R&D support policies that induce them to overcome this first obstacle also play a critical role. This paper studies the drivers of R&D activities in non-financial firms listed at Istanbul Stock Exchange by using a panel data at the establishment level for the 1998-2007 periods. Our findings suggest that although SMEs are less likely to conduct R&D. they spend proportionally more on R&D than the LSEs. Moreover, public support has a strong effect in raising R&D intensity of R&D performers.