Does the support of innovative clusters sustainably foster R&D activity? Evidence from the German BioRegio and BioProfile contests

In this paper, we evaluate the R&D enhancing effects of two large public grant schemes aiming at encouraging the performance of firms organized in clusters. These are Germany's well known BioRegio and BioProfile contests for which we compare the research performance of winning regions in contrast with non-winning and non-participating comparison regions. We apply Difference-in-Difference estimation techniques in a generalized linear model framework, which allows to control for different initial regional conditions in the biotechnology related R&D activity. Our econometric findings support the view that winners generally outperform non-winning participants during the treatment period, thus indicating that exclusive funding as well as the stimulating effect of being a "winner" seems to work in the short-term. In contrast, no indirect impacts stemming from a potential mobilizing effect of the contest approaches have been detected. Also, we find only limited evidence for long-term effects of public R&D grants in the post-treatment period. The results of our analysis remain stable if we additionally augment the model to account for the particular role of spatial dependence in the R&D outcome variables.Biotechnology, R&D Policies, Cluster, Diff-in-Diff Estimation

Energy efficiency as a key element of the EU's post-Kyoto strategy : results of an integrated scenario analysis

Under the framework of the UN framework convention on climate change (UNFCCC) and its Kyoto Protocol the targets and strategies for the second and third commitment period ("post-2012") have to be discussed and set in the near future. Regarding the substantial emission reductions that have to be shouldered by the industrialized nations over the next two decades it is evident that all available potentials to mitigate greenhouse gas (GHG) emissions have to be harnessed and that energy efficiency has to play a key role. To substantiate this we developed a comprehensive scenario analysis of the EU 25s energy system and other greenhouse gas emissions until 2020. Our analysis shows which key potentials to mitigate greenhouse gas emissions are available, by which policies and measures they are attainable and which will be benefits of greenhouse gas mitigation measures. By this analysis we show the mayor role of energy efficiency in all sectors and all member states. We demonstrate that a reduction of EU 25 greenhouse gas emissions by more than 30 % by 2020 is feasible, reasonable and - to a large extent - cost effective. We also develop a comprehensive policy package necessary to achieve ambitious Post-Kyoto targets. The scenario analysis results in a clear identification of the needed strategies, policies and measures and especially the relevance of energy efficiency to achieve the necessary ambitious greenhouse gas reduction targets. It also clearly shows the costs and the benefits of such a policy compared to a business as usual case

Does the support of innovative clusters sustainably foster R&D activity? Evidence from the German BioRegio and BioProfile contests

In this paper, we evaluate the R&D enhancing effects of two large public grant schemes aiming at encouraging the performance of firms organized in clusters. These are Germany's well known BioRegio and BioProle contests for which we compare the research performance of winning regions in contrast with non-winning and non-participating comparison regions. We apply Difference-in-Difference estimation techniques in a generalized linear model framework, which allows to control for different initial regional conditions in the biotechnology related R&D activity. Our econometric findings support the view that winners generally outperform non-winning participants during the treatment period, thus indicating that exclusive funding as well as the stimulating effect of being a "winner" seems to work in the short-term. In contrast, no indirect impacts stemming from a potential mobilizing effect of the contest approaches have been detected. Also, we find only limited evidence for long-term effects of public R&D grants in the post-treatment period. The results of our analysis remain stable if we additionally augment the model to account for the particular role of spatial dependence in the R&D outcome variables

Toothless tiger? : Is the EU action plan on energy efficiency sufficient to reach its target?

Motivated by, inter alia, the increasing energy prices, the security of energy supply and climate change, the new EU "Action Plan for Energy Efficiency: Realising the Potential" (EEAP), sets out the policies and measures required to be implemented over the next six years to achieve the EU's goal of reducing annual primary energy consumption by about 20 % by 2020. By increasing energy efficiency, the security of energy supply and the reduction of carbon emissions are also improved. The paper will analyse the 20 % target of the new EEAP for the energy demand side by comparison with different recent energy scenarios for the EU. It will therefore review the recommended policies and measures and examine, in which energy demand sectors energy efficiency may be increased and to which extend. The main focus is whether the recommended policies and actions will be sufficient and which additional measures may be useful, if additional measures are needed