Coad, Alexander; Rao, Rekha - 2007
growth, employment growth, profits growth and growth of R&D expenditure. Contrary to expectations, profit growth seems to … have little detectable effect on R&D investment. Instead, firms appear to increase their total R&D expenditure following … growth in sales and growth of employment. In a sense, firms behave 'as if' they aim for a roughly constant ratio of R&D to …