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This study analyzes the effects of public R&D policy schemes on the innovation activities of firms located in Eastern Germany. The main question in this context is whether public funds stimulate R&D activities or simply crowd out privately financed R&D. Empirically, we investigate the average...
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Relying on firm-level data from China, this paper combines matching techniques with a structural framework to study the … effects of public subsidies across multiple stages of innovation and the implications for productivity. The findings reveal … that public subsidies reduce firms' economic performance despite promoting indigenous innovation, at least in the higher …
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