Management & Information Systems Review (경영과정보연구)
- Volume 21
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- Pages.239-269
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- 2007
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- 1598-2459(pISSN)
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- 2733-4767(eISSN)
The Determinant of Investment in Research and Development Analyze - on its Market Structure and Financial Factor -
기업의 연구개발투자 결정요인분석 -시장구조 및 재무적 요인을 중심으로-
- Hwang, Eun-Jeong (Department of Economics Graduate School Sookmyung Women's University)
- 황은정 (숙명여자대학교 대학원 경제학과)
- Published : 2007.06.30
Abstract
The purpose of this thesis is to analyze empirically the relationship between market structure, measured by Herfindahl-Hershmann Index(HHI), and financial factors, and innovation in Korean industry panel datasets for 2000-2006. Results show that debt ratio and scale of the firm has a consistent positive effect on the investment in research and development. As more scale of the firm is getting bigger, the investment in R&D decrease. Also, as more debt ratio of firm rise, the investment for innovation increase. Concentration ratio, the HHI and the classification factor of High-tech industry and Low-tech industry has a consistent positive effect on the innovation. Factors affecting the investment in research and development include market structure and characteristics of industry as well as the internal affairs of the firm.