Auteurs : Bart Clarysse - Mirjam Knockaert
Publicatiedatum : november 2009

The current policy debate on R&D subsidies has mainly focussed on the effectiveness of R&D subsidies, whereas the academic literature has to a large extent looked into which companies receive R&D subsidies and why. The latter has acknowledged the need to control for a potential sample selection issue, caused by the fact that not all companies apply for R&D subsidies, and has proposed the use of control groups and treatment effect models. The application of these models remains however scarce, given the limited understanding of which factors drive companies to apply for R&D subsidies. Using a Heckman selection model, this paper analyzes which young technology based firms receive R&D subsidies, while taking into account the likelihood of application. Analyzing a sample of 225 young technology based firms in Flanders, we found that entrepreneurial firms disposing of less financing were more likely to apply for R&D subsidies, whereas firms led by teams disposing of higher levels of commercial experience were less likely to apply for R&D subsidies. Controlling for likelihood of application, we found that more heterogeneous teams were more likely to receive R&D subsidies.