Public R&D policies and cost behavior of the US manufacturing industries

Article Abstract:

A study sought to evaluate the contributions of tax incentives and public financing of R&D investment policies in supporting the growth of output and productivity of US manufacturing industries. Although publicly financed R&D results in cost savings, it eliminates privately financed R&D investment. Meanwhile, the incremental R&D tax credit and immediate deductibility provision of R&D expenses have an effect on privately financed R&D investment. A combination of both instruments is thus necessary to maintain a balanced growth in output and productivity in the manufacturing sector.

Author: Mamuneas, Theofanis P., Nadiri, M. Ishaq
MISCELLANEOUS MANUFACTURING INDUSTRIES, Manufacturing NEC, All Other Miscellaneous Manufacturing, Research and Development in the Physical, Engineering, and Life Sciences, Research & Development-Industry, Manufacturing industry, Manufacturing industries, Industrial research, Industrial productivity

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The gains from agricultural research under distorted trade

Article Abstract:

Research and development (R&D) in the heavily subsidized grain industry benefits individual producers but not the country as a whole. In a world market such as wheat, any surplus created by R&D goes to an export market which sells grains at nearly zero profit. However, since the negative effects of subsidies mostly affect taxpayers, there is no incentive for individual producers to desist. R&D does benefit agricultural efforts globally, often assisting developing nations.

Author: Schmitz, Andrew, Murphy, John A., Furtan, W. Hartley,
Finance, taxation, & monetary policy, Joint ventures, Export subsidies

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The gains from agricultural research under distorted trade: comments

Article Abstract:

In 1993 Murphy et al. developed a diagram to assess the social benefits from supply-increasing agricultural research with the existence of an internal price support imposed on a commodity traded using export subsidies. However, Murphy et al. failed to include change in domestic surplus as a factor in their assessment of research benefits. A modified diagram is shown, based on the previous work, but modified to include change in domestic surplus.

Author: Voon, Thomas J.
Social aspects

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Subjects list: Economic aspects, Research, Agricultural research
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