Electronic Resource
Oxford, UK and Boston, USA
:
Blackwell Publishers Ltd
R & D management
31 (2001), S. 0
ISSN:
1467-9310
Source:
Blackwell Publishing Journal Backfiles 1879-2005
Topics:
Economics
Notes:
This study replicates prior research regarding research and development (R&D) spending by sampling R&D spending for a cross-section of firms in non-service related industries. Compustat data for 231 firms from 1992 to 1998 are used to test whether the US Federal tax credit for R&D meaningfully influenced R&D spending of the sampled firms. Firms’ (1) effective rate of R&D tax credit, (2) rate of decay in R&D capital for firms’ primary industry affiliation, (3) financial cost of capital, and (4) marginal tax rate are used to compute firms’ user-cost of capital for in-house R&D. Results show that firms that were eligible for the tax credit spent more on R&D than non-eligible firms as the user-cost of in-house R&D increased. These results add further evidence regarding the role of the tax credit in stimulating R&D activity and suggest that a tax credit for incremental research can be used to boost private-sector R&D spending.
Type of Medium:
Electronic Resource
URL:
http://dx.doi.org/10.1111/1467-9310.00232
| Library |
Location |
Call Number |
Volume/Issue/Year |
Availability |
