The Impact of Public R and D on Patenting and on Scientific Manpower Retention by Firms in the Private Sector - Executive Summary

摘要

Results of a study of the magnitude of the beneficial spill-over effects generated by publicly-funded research and development (R&D) work done by private sector firms are presented. Two hypotheses are tested: (1) that R&D work done by private firms under government contract has substantial spill-over effects that are socially beneficial, and (2) that private R&D work that is publicly funded is more likely than privately-funded R&D work to foster technological advances that will be embodied in the firm's scientific and engineering personnel. To test the first hypothesis, a variant of the standard model of the profit-maximizing firm is developed. The mathematical relation expressed summarizes the technological relationship between new knowledge produced, as measured by a firm's net patent applications, and the inputs required to generate this knowledge. The statistical results provide limited support for this hypothesis. To test the second hypothesis, a model of the probability of job quits is statistically fitted to cross-section data obtained from professional membership directors and from COMPUSTAT.