The Effects of R&amp;D Intensity and Tax Incentives on Firms Growth of PIGS Countries

Markéta Šeligová

doi:10.18267/j.efaj.157

Abstract

The aim of this paper is to evaluate the effects of R&D intensity, R&D investment and tax incentives on firms' growth in Portugal, Italy, Greece and Spain from 2002 to 2014. Another ambition of this paper is to identify which selected factors affected firms' growth. The effect of variables such as the R&D intensity, generosity of tax incentives, capital intensity, profitability, firm size and firm sales was tested. Using panel regression analysis a positive influence R&D intensity and generosity of tax incentives at firms' growth was recorded.

Highlights

The aim of this paper is to evaluate the effects of Research and development (R&D) intensity and tax incentives on firms’ growth in Portugal, Italy, Greece and Spain from 2002 to 2014
1 Introduction The aim of this paper is to evaluate the effects of R&D intensity and tax incentives on firms’ growth in Portugal, Italy, Greece and Spain from 2002 to 2014
Research and development (R&D), including innovation is important for economic growth, competitiveness and growing standards of living

Summary

Introduction

The aim of this paper is to evaluate the effects of R&D intensity and tax incentives on firms’ growth in Portugal, Italy, Greece and Spain from 2002 to 2014. Another target of this paper is to identify which selected factors affecting firm’ growth. The second part of this paper includes a methodology, using date and purpose of the panel regression analysis. The third part of the paper is focused on the results of estimating panel regression analysis and their comments. This chapter is focused on the selected factors influenced the firms’ growth PIGS countries from 2000 to 2014. Attention will be given to selected indicators: variables such as the R&D intensity, generosity of tax incentives, capital intensity, profitability, firm size and firm sales

Objectives

Results

Conclusion