Working Paper #2009-029
Innovative Sales, R&D and Total Innovation Expenditures: Panel Evidence on their Dynamics
This paper studies the dynamic relationship between input and output of
innovation in Dutch manufacturing using an unbalanced panel of
enterprise data from five waves of the Community Innovation Survey
during 1994-2004. We estimate by maximum likelihood a dynamic panel data
bivariate tobit with double-index sample selection accounting for
individual effects. We find persistence of innovation input and
innovation output, a lag effect of the former on the latter and a
feedback effect of the latter on the former. The lag effect remains
significant in the high-tech sector even after four years. Firm and
industry effects are also important.
- Keywords
-
- innovation production function
- panel data
- CIS data
- bivariate dynamic tobit
- Netherlands UNU-MERIT Working Papers ISSN 1871-9872
- JEL codes
-
- C33
- C34
- O31
Cite this as
APA 7th ed.Raymond, W., Mohnen, P., Palm, F., & Schim van der Loeff, S. (2009). Innovative Sales, R&D and Total Innovation Expenditures: Panel Evidence on their Dynamics (UNU-MERIT Working Paper No. 2009-029). UNU-MERIT. https://unu-merit.nl/publications/working-papers/abstract/?id=3744