Detecting Behavioural Additionality - an Empirical Study on the Impact of Public R&D Funding on Firms' Cooperative Behaviour in Germany

Subsidising research networks has become a popular instrument in technology policies, driven mainly by expected positive spillovers. In particular, the stimulation of Ramp;D co-operation between scientific institutions and industry is considered as most promising. In the context of policy evaluation we analyse if public Ramp;D funding is suitable for influencing firms' collaborative behaviour in the intended way and where applicable, if a lasting change results. The empirical analysis is based on German CIS data and a supplemental telephone survey. Using a nearest-neighbour matching approach we find that Ramp;D funding is indeed a particularly valuable tool for the linking of science into industry Ramp;D partnerships. However, we also show in a bivariate probit analysis that newly initiated Ramp;D co-operations with science are less likely to be continued after funding has ended compared to already existing co-operations. Therefore, the behavioural change induced by public funding is not necessarily longlived