Abstract
An important question in industrialized countries is whether offshoring activities reduce the probability of performing own research and development (R&D) or whether the R&D intensity falls in firms that already have R&D activities. This question is addressed using a unique data set that combines survey and register data. No evidence is found for a lower probability of own R&D after offshoring takes place compared to before. Moreover, offshoring does not lead to lower R&D intensity in general. However, firms that offshore R&D activity have larger R&D intensity after offshoring has taken place, which suggests that R&D performed at home is complementary to foreign R&D.
Original language | English |
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Journal | Applied Economics Letters |
Volume | 25 |
Issue number | 18 |
Pages (from-to) | 1283-1287 |
Number of pages | 5 |
ISSN | 1350-4851 |
DOIs | |
Publication status | Published - Oct 2018 |
Bibliographical note
Published online: 21 December 2017Keywords
- Offshoring
- Domestic and foreign R&D