STI Policy Review
- Volume 3 Issue 1
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- Pages.80-95
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- 2012
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- 2093-3053(pISSN)
DOI QR Code
The Contribution of R&D Outsourcing to Productivity Growth
- Seo, Hwan Joo (Hanyang University) ;
- Kim, Han Sung (Ajou University) ;
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Lee, Young Soo
(Korea Aerospace University)
- Published : 2012.06.30
Abstract
Few studies have focused on the impact of R&D outsourcing on technological innovation and productivity despite the increased importance of R&D outsourcing. This study analyzes the productivity effects of investment in R&D outsourcing with a sample of Korean manufacturing industries from 2001 to 2009. The estimation results show a nonlinear U-shaped relationship between productivity and the share of R&D outsourcing capital for total R&D capital. This implies that the cost of R&D outsourcing outweighs its benefits in the early stages of R&D outsourcing. The U-shaped relationship is particularly pronounced in high-technology industries.