Public Support, R&D and Firm Innovation in Developing Countries: The Case of Morocco
Mariem Liouaeddine et al.
What the paper says
The allocation and effectiveness of public subsidies for R&D and innovation are crucial issues for firms and policymakers. This study has two main objectives: first, to identify the determinants of access to public funding for R&D and innovation within firms; second, to quantitatively assess the causal impact of this support on firms’ R&D and innovation activities. We used data from the 2019 World Bank survey of 1,096 Moroccan firms (www.enterprisesurveys.org) and applied two econometric approaches. For the first objective, we resorted to logistic regression based on a probit model. The results show that competitive firms, those investing in ICT, and those that employ graduates are more likely to receive public financial support. For the second objective, we used Propensity Score Matching (PSM) to control for selection bias and endogeneity. The results show that government financial support significantly favors the innovation inputs and outputs of Moroccan firms.JEL Classification: C54, H81, L2, O3.
Evidence weight
Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40
| F · citation impact | 0.50 × 0.4 = 0.20 |
| M · momentum | 0.50 × 0.15 = 0.07 |
| V · venue signal | 0.50 × 0.05 = 0.03 |
| R · text relevance † | 0.50 × 0.4 = 0.20 |
† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.