Scandinavian Working Papers in Economics

Working Papers,
Örebro University, School of Business

No 2003:5: Determinants of firm R&D: Evidence from Swedish firm level data

Patrik Gustavsson and Andreas Poldahl
Additional contact information
Patrik Gustavsson: FIEF, Postal: FIEF, Wallingatan 38, 111 24 Stockholm, , Sweden
Andreas Poldahl: Department of Business, Economics, Statistics and Informatics, Postal: Örebro University, Department of Business, Economics, Statistics and Informatics, SE - 701 82 ÖREBRO, Sweden

Abstract: In this paper we analyse determinants of firm R&D using matched Swedish employer-employee data spanning the period 1990-1999. We explore if

predictions from the model of creative destruction are supported by data.

Using various measures of competition, results indicate that competition is likely to contract rather than expand firm R&D expenditures. In addition, firm R&D is positively correlated with its own export and to the R&Dintensity of other firms within the same concern, indicating the existence of knowledge spillovers.

Keywords: R&D; competition; firm size; spillovers

JEL-codes: D40; L10

22 pages, September 29, 2004

Price: 120

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