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http://dx.doi.org/10.7840/kics.2012.37B.9.837

An Analysis of the Economic Effects of R&D Investment in the IT Industry  

Hong, Jae-Pyo (과학기술연합대학원대학교 정보통신기술경영학과, 한국전자통신연구원 사업화본부)
Choi, Na-Lin (안전성평가연구소 사업전략부 전략정책팀)
Kim, Pang-Ryong (한국전자통신연구원 기술전략연구본부, 과학기술연합대학원대학교)
Publication Information
The Journal of Korean Institute of Communications and Information Sciences / v.37B, no.9, 2012 , pp. 837-848 More about this Journal
Abstract
This study has conducted the economic effects of R&D investment in the IT industry using multi-regression analysis with three independent variables; capital stock, labor input and R&D stock. In this study, the IT industry has been categorized into three sub-industries; broadcasting communication appliances, information appliances and electronic components industry. Our analysis has found that auto-correlation shows considerable levels whereas figures of t-value and R-square show significant levels among all the IT sub-industries. Meanwhile, the values of R&D stock in the information appliances industry and that of labor input coefficients in the electronic components industry were minus, thus multi-collinearity was suspected. We have solved the problems regarding auto-correlation and multi-collinearity through Cochrane-Orcutt estimation and principal components analysis. This paper has derived the implications that R&D investment in the broadcasting communication industry is much more influential than any other IT sub-industry.
Keywords
R&D investment; IT industry; economic effects; Multi-collinearity; Principal component analysis;
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Times Cited By KSCI : 2  (Citation Analysis)
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