Connecting the Firm to External Knowledge
Chapter 6: The Impact of Public Funding for Research on Private–Public Research Cooperation
6. The impact of public funding for research on private–public research cooperation 6.1 INTRODUCTION In innovation policy circles in Europe and the OECD there has, in the past two decades, been a growing awareness of the importance of fostering cooperative research (European Commission, 2003; OECD, 2001). This is reflected by an increasing proportion of public funding awarded by the various regional, national and EU authorities to cooperative research networks rather than individual organisations. There are many types of partners eligible for research cooperation: firms (clients, suppliers, competitors); private organisations (consultants, R&D laboratories); and public organisations (universities, polytechnics, public research centres) (OECD, 2005; Tether and Tajar, 2008). The focus of this chapter is on the latter category, which is presumed to cover ‘science’. Industry–science relationships are thought to be instrumental for the transfer of knowledge and technology. The ultimate importance of industry– science relationships can be found in the stimulating effect they have (or, at least, are supposed to have) on economic development or growth and therefore welfare (European Commission, 2008). The starting point of this chapter is the literature on behavioural additionality of public funding for research, and, more particularly, the impact of public funding on industry–science cooperation. At least three areas for improvement can be identified in most of the empirical literature related to this topic. First, there are very few studies that consider the mix of public funding for industry–science cooperation when considering the relationship between public funding and cooperation. Analyses are mostly...
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