A review of the econometric evidence on innovation policy instruments in Brazil
by Carlos Tadao Kawamoto; Paulo Roberto Feldmann; James Terence Coulter Wright
World Review of Science, Technology and Sustainable Development (WRSTSD), Vol. 13, No. 3, 2017

Abstract: Evaluations of innovation policy instruments have shown a proliferation in growth in the last decade in Brazil ever since the publication of PINTEC, a crucial survey conducted by the Brazilian Institute of Geography and Statistics (IBGE). The sometimes contradictory results among some studies require the development of a clearer picture of the policy effects of R&D in the country. We focus on the additionality effect of inputs from various government incentives, and survey the related empirical literature dedicated to Brazil. Our results suggest that fiscal incentives for R&D activities provide a more robust additionality effect, in comparison to non-reimbursable subsidies for innovative activities. In addition, the effect occurs more robustly with low and medium technology intensive firms than it does with high technology intensity ones.

Online publication date: Fri, 06-Oct-2017

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