98304 driver oai:ddd.uab.cat:98304 hdl_2072_13171 oai:www.recercat.cat:2072/196043 eng 332 Arqué Castells, Pere Sunk costs, extensive R&D subsidies and permanent inducement effects Xarxa de Referència en Economia Aplicada (XREAP) 2012 44 p. We study whether there is scope for using subsidies to smooth out barriers to R&D performance and expand the share of R&D firms in Spain. We consider a dynamic model with sunk entry costs in which firms’ optimal participation strategy is defined in terms of two subsidy thresholds that characterise entry and continuation. We compute the subsidy thresholds from the estimates of a dynamic panel data type-2 tobit model for an unbalanced panel of about 2,000 Spanish manufacturing firms. The results suggest that “extensive” subsidies are a feasible and efficient tool for expanding the share of R&D firms. info:eu-repo/semantics/openAccess L'accés als continguts d'aquest document queda condicionat a l'acceptació de les condicions d'ús establertes per la següent llicència Creative Commons: http://creativecommons.org/licenses/by/3.0/es/ Recerca industrial Subvencions Espanya Industrial research Subsidies Spain info:eu-repo/semantics/workingPaper Mohnen, Pierre A. Xarxa de Referència en Economia Aplicada (XREAP) XREAP ; 2012-10 73 411344 http://ddd.uab.cat/pub/estudis/2012/hdl_2072_196043/XREAP2012-10.pdf Adreça alternativa http://hdl.handle.net/2072/196043 ESTUDIS UAB file 0 MD5 87e705cd249cf03ab3c4a19ec513f81e 411344 PDF 1.6 filepath pub/estudis/2012/hdl_2072_196043/XREAP2012-10.pdf disk