In Germany, R&D subsidies are an important tool to support innovation in the private sector. This paper studies the … 2011. The analysis is based on a structural model of the R&D subsidy process which allows to estimate the benefits of R … of the subsidy on the federal government’s utility as well as on firm profits. Assuming a welfare-maximizing federal …

Offering unemployed individuals a subsidy to become self-employed is a widespread active labor market policy strategy … survival, but lag behind regular business founders in terms of income, business growth and innovation. Moreover, we show that …

survival rates and little contribution to job creation, economic growth, and innovation. In this paper, we use a rich data set … to compare participants of a German start-up subsidy program for unemployed individuals to a group of regular founders … who started from non-unemployment and did not receive the subsidy. The data allows us to analyze their business …