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We compare different tax incentive schemes for private R&D investments using a numerical model of R&D-investments and firm dynamics. We find that tax incentives that are based on the incremental annual spending increase firms' R&D spending much more than tax incentives that are based on the...
Persistent link: https://www.econbiz.de/10005749361
cover essentially all firms in the Finnish business sector, we first document that labor productivity dispersion is very … market equilibrium and whether innovation subsidies can improve industry productivity by mitigating such a tax distortion. …
Persistent link: https://www.econbiz.de/10010987122
productivity. An important issue, therefore, is how to measure allocative efficiency. We compare popular indicators of allocative … productivity and to the Olley-Pakes (OP) covariance component, which is currently the most popular measure of allocative efficiency …
Persistent link: https://www.econbiz.de/10010987367