[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/p/rif/dpaper/1045.html
   My bibliography  Save this paper

T&K:n verokannustimien mahdollisia vaikutuksia suomalaisten yrityskyselyjen valossa

Author

Listed:
  • Pajarinen, Mika
  • Rouvinen, Petri
  • Ylä-Anttila, Pekka
Abstract
Evaluating the possible consequences of R&D tax incentives before their introduction is challenging, not least because the details of the system remain unknown, and because the ultimate reactions and responses of various actors involved remain uncertain. In order to shed some light on the issue, this reports studies the results of surveys targeting the representatives of Finnish firms by employing statistical and econometric tools. R&D tax incentives have become increasingly common among the industrialized countries, and the trend seems to continue. Even though R&D tax incentives and direct support are in essence substitutes, they seem to co-exist, and in a sample of OECD countries there is a (very weak) positive correlation between their relative magnitudes. The rather broad (but uneven) empirical literature on the topic provides some evidence on the complementarity between business enterprise R&D and its tax incentives : A mean estimate which has, however, a considerable variance across internationally available scholarly studies suggests that a dollar in R&D tax incen-tives stimulates one to two per cent additional R&D above the tax dollar spent. Both Finnish and international survey findings suggest that firms have a (slight) preference for R&D tax incentives over direct support, and that they would increase their innovative efforts in response to additional incentives. Growth-orientated, innovative, and/or externally collaborating firms seem to be more responsive to additional support, although there is no statistically significant difference in responsiveness by the support type.

Suggested Citation

  • Pajarinen, Mika & Rouvinen, Petri & Ylä-Anttila, Pekka, 2006. "T&K:n verokannustimien mahdollisia vaikutuksia suomalaisten yrityskyselyjen valossa," Discussion Papers 1045, The Research Institute of the Finnish Economy.
    • Handle: RePEc:rif:dpaper:1045
    as

    Download full text from publisher

    File URL: http://www.etla.fi/wp-content/uploads/2012/09/dp1045.pdf
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    Corporate taxation; R&D; innovative activity; public subsidies; tax incentives;
    All these keywords.

    JEL classification:

    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation
    • H25 - Public Economics - - Taxation, Subsidies, and Revenue - - - Business Taxes and Subsidies
    • K34 - Law and Economics - - Other Substantive Areas of Law - - - Tax Law
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rif:dpaper:1045. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Kaija Hyvönen-Rajecki (email available below). General contact details of provider: https://edirc.repec.org/data/etlaafi.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.