• Journal of Korea Technology Innovation Society
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• v.11 no.1
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• pp.72-90
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• 2008

What has been the contribution of industrial innovation to economic growth? Typically, the issue has been approached with growth-accounting methods augmented to include a "stock of knowledge". An independent estimate of the rate of return to R&D is found in order to impute patents granted to the accumulation of knowledge. Griliches(1973) then uses a regression approach to assess the effect of an R&D variable on the computed TFP growth rate. The regression coefficient on the R&D variable would provide an estimate of the social rate of return to R&D. The related studies tend to show high social rates of return to R&D, typically in a range of 20 to 40 % per year. We need to provide multiple equation dynamic system for productivity and innovation in Korean economy in state space form. A wide range of time series models, including the classical linear regression model, can be written and estimated as special cases of a state space specification. State space models have been applied in the econometrics literature to model unobserved variables like productivity. Estimation produces the following results. Considering the goodness of fit, we can see that the evidence is strongly in favor of the range $0.120{\sim}0.135$ for the elasticity of TFP to R&D stock in the period between 1970's and the early 2000's.

• Proceedings of the Technology Innovation Conference
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• 1999.12a
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• pp.159-177
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• 1999

Many companies still struggle with the issue of research and development(R&D) performance measurement, in particular, the nonfinancial performance measurement of R&D with coming of knowledge-based society, Of course, we would not deny the fact that financial measures play the central role in assessing the overall performance of R&D, The aim of this paper is to provide the new model to evaluate the quantitative value of technology (nonfinancial benefits). This new model is based on the technology stock(technology level) acquired in R&D process, That is, we take it for granted that the acquired technology below a certain level(<70% compare to the advanced country) can not be utilized in developing the new products or in proving the manufacturing processes, The evaluation model we create can explains the quantitative relation between the technology stock and the market value considering R&D expenditure to acquire the technology above certain level(>70%) and cost to prevent the technology obsolescence. The value of non-destructive testing technology, which is one of the electric Power technology, is measured quantitatively using our new model as a case study, We also discussed briefly the possibility of capitalization of the measured technology value.

• Journal of Korea Technology Innovation Society
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• v.8 no.3
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• pp.1199-1224
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• 2005

This study analyzes various factors affecting a firm's investments, focusing on both a firm's ownership structure and CEO's incentives. While previous empirical works focus on various financial data in order to test the Schumpeterian Hypotheses, this paper is using various ownership structure data as well as financial data. Empirical results show that the greater a firm's CEO has the company's own stock, the less he spends in R&D investments. The main empirical results of this study is in line with past empirical studies on various markets outside of Korea.

• Journal of Korea Technology Innovation Society
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• v.3 no.1
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• pp.139-153
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• 2000

The aim of this paper is to provide a new model to evaluate the quantitative value of technology(nonfinancial benefits). This new model is based on the technology stock(technology level) ac-quired in R&D process. The model can explain the quantitative relation between the technology stock(level) and the market value of technology as considering the R&D expenditure to acquire technologies above a certain level(>70%) in comparison with the advanced country and the cost to prevent the technology obsolescence. The value of non-destructive testing technology which is one of the electric power technology is measured quantitatively as a case study.

• Knowledge Management Research
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• v.12 no.3
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• pp.59-71
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• 2011

This study intends to examine the effect of research and development (R&D) expenditure effects on firm value through patent and earing persistence. The patent is the representative intangible asset which objectively indicates a typical product of research and development activities to external parties. If a firm has acquired the patent, it receives amicable evaluation from the market compared to the firm which has not acquired patent. Empirical analysis is performed for non-banking firms (1,860 firm-years) listed on Korean Stock Exchange with December fiscal year-end over 2004-2009. Research results are as follows. First, the multiple pricing of patent acquiring firm and earing persistence increased group showed that they have higher prices than the other groups. Second, the multiple pricing of R&D expenditures of earing persistence increased group showed that they have higher prices than the other group. Third, the R&D expenditures of earing persistence increased group is receiving more friendly evaluation from the stock market than the other group.

• International Area Studies Review
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• v.12 no.2
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• pp.149-173
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• 2008

This paper empirically studies the relationship between R&D expenditures and firms value. First, we can conjecture that R&D expenditures are enhancing the firms value. Such findings depend on an existing research, which R&D expenditures are intangible asset rather than expenses. Although, under U.S. accounting standards, financial statements do not report intangible assets but costs. Second, we can conjecture that short-term, the rate of increase in R&D expenditures had negative influence on firms valuation, because such findings indicates that R&D spending of costs incur mis-pricing. But long-term, consistently R&D expenditures may attract investors on the stock market. Third, lately firms focus on capital efficiency management, such a firms R&D expenditures incur high ROE. Generally investors put too much confidence in capital efficiency management and high ROE may attract investors on the stock market. Finally, High-Tech through the R&D investment improve firms competitive advantage, by competitive advantage, firms have reduced cost and raised productivity in the end improve firms value.

• 한국신재생에너지학회:학술대회논문집
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• 2008.10a
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• pp.164-164
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• 2008

• Journal of Korean Society of Industrial and Systems Engineering
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• v.20 no.44
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• pp.129-134
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• 1997

The purpose of this study is to estimate the distribution rate of R&D input on R&D output in major manufacturing industrial sector. The distribution rate is estimated on time-series data for the period 1980 to 1996. The data used in this study can be divided into the two categories. 1) R&D output data (Patent, Utility) 2) R&D input data (R&D expenditure, R&D workers) The raw data of R&D expenditure is transformed into R&D stock. And the specific production function is used to represent the interaction between R&D input and output. The production function shows the maximum rate of R&D output that can be achieved by certain given, technologically possible, R&D input combinations. The main findings can be summarized as follows. 1) There was a diminishing return between R&D input and output$(\alpha+\beta<1). 2) R&D output growth was more affected by R&D expenditures than R&D workers. 3) R&D workers were more contributed highly to Patent granted than Utility model.

• Journal of Technology Innovation
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• v.11 no.2
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• pp.151-173
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• 2003

This paper analyses the efficiency and productivity of R&D system across time (1991${\sim}$2000) and 16 OECD countries using multi-output and multi-input non-parametric frontier methods such as DEA (data envelopement analysis) and Malmquist productivity indexes. Malmquist productivity indexes are decomposed into two components measures, namely technical change and efficiency change. To calculate R&D efficiency and productivity, we used R&D stock and the number or researchers as R&D input proxies and the number of adjusted SCI papers and U.S. patent applications as R&D output proxies. Empirical result shows that Switzerland, Canada, U.S., Australia's R&D efficiencies are the highest and Korea's R&D productivity growth is the highest in the sample for the period. Technical efficiency growth was a more important source of productivity growth than technological innovation.

• Journal of Korea Technology Innovation Society
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• v.9 no.4
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• pp.842-864
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• 2006

This paper deals with an empirical study to statistically analyse various financial performances of the selected IPO firms using their investments on research and development(R&D) as an independent variables. The major results of statistical analyses have come up with the followings: 1) The regression analyses for change in average annual total market stock value/total assets over that of R&D expenditures showed the positive relationship, However, those of sales volume and net assets per share showed negative without statistical significances. 2) The statistical analyses in effect of the 3-year average total market stock value/total assets over the 3-year average R&D expenditures resulted in the positive coefficients what are statistically significant at 95% level. 3) Another statistical analysis showed that the financial performances of the IPO finns with deferred assets were better than those of the firms without them. In sum, the degree of investment on R&D by the IPO firms are expected to positively affect their financial performances except the Finns without having proper original technologies.