Are economically advanced countries more efficient in basic and applied research?
Research and development (R&D) of countries play a major role in a long-term development of the economy. We measure the R&D efficiency of all 28 member countries of the European Union in the years 2008–2014. Super-efficient data envelopment analysis (DEA) based on robustness of classification into efficient and inefficient units is adopted. We use the number of citations as output of basic research, the number of patents as output of applied research and R&D expenditures with manpower as inputs. To meet DEA assumptions and to capture R&D characteristics, we analyze a homogeneous sample of countries, adjust prices using purchasing power parity and consider time lag between inputs and outputs. We find that the efficiency of general R&D is higher for countries with higher GDP per capita. This relation also holds for specialized efficiencies of basic and applied research. However, it is much stronger for applied research suggesting its outputs are more easily distinguished and captured. Our findings are important in the evaluation of research and policy making.
KeywordsResearch and development Basic and applied research Efficiency Data envelopment analysis
This work was supported by the Czech Science Foundation under the project DYME—Dynamic Models in Economics, No. P402/12/G097. We would like to thank Milan Hladík for his help with the Chebyshev distance DEA, Jakub Fischer for his comments and Alena Holá for proofreading.
- Baltagi BH (2013) Econometric analysis of panel data, 5th edn. Wiley, ChichesterGoogle Scholar
- Ekinci Y, Ön RM (2015) A review on the comparison of EU countries based on research and development efficiencies. Int J Soc Behav Educ Econ Bus Ind Eng 9(7):2437–2440Google Scholar
- Guellec D, van Pottelsberghe de la Potterie B (2005) Measuring the internationalisation of the generation of knowledge, chap 29. In: Moed HF, Glänzel W, Schmoch U (eds) Handbook of quantitative science and technology research, 1st edn. Springer, Dordrecht, pp 645–662. https://doi.org/10.1007/1-4020-2755-9 Google Scholar
- Hladík M (2017) A novel data envelopment analysis ranking based on a robust approach. arXiv:1702.01979
- Holý V, Šafr K (2017) Comparing R&D efficiency of European countries using robust DEA. In: Emrouznejad A, Jablonský J, Banker R, Toloo M (eds) Proceedings of the 15th international conference of DEA, Prague, pp 64–69Google Scholar
- Narayanamurti V, Odumosu T, Vinsel L (2013) RIP: the basic/applied research dichotomy. Issues Sci Technol 29(2):31–37Google Scholar
- OECD (2004) Patents and innovation: trends and policy challenges, Technical report. http://www.oecd.org/science/sci-tech/24508541.pdf
- Roman M (2010) Regional efficiency of knowledge economy in the new EU countries: the Romanian and Bulgarian case. Romanian J Reg Sci 4(1):33–53Google Scholar
- van Leeuwen TN, Moed HF, Tijssen RJW, Visser MS, van Raan AFJ (2001) Language biases in the coverage of the Science Citation Index and its consequences for international comparisons of national research performance. Scientometrics 51(1):335–346. https://doi.org/10.1023/a:1010549719484 CrossRefGoogle Scholar