Template-type: ReDIF-Paper 1.0
Author-Name: Lokshin, Boris
Author-Email: lokshin@merit.unu.edu
Author-Workplace-Name: UNU-MERIT/MGSoG, and School of Business and Economics,
	 Maastricht University
Author-Name: Mohnen, Pierre
Author-Email: mohnen@merit.unu.edu
Author-Workplace-Name: UNU-MERIT/MGSoG, and School of Business and Economics,
	 Maastricht University
Title: Do R&D tax incentives lead to higher wages for R&D workers? Evidence from the 
	 Netherlands
Abstract: This paper examines the impact of the Dutch R&D tax incentive scheme on 
	 the wages of R&D workers. We construct firm specific R&D tax credit 
	 rates that vary over time following variations in the Dutch R&D tax 
	 incentive program. Using instrumental variables we estimate a 
	 wage-sharing model with an unbalanced firm-level panel data covering the 
	 period 1997-2004. The elasticity of the R&D wage with respect to the 
	 fraction of the wage supported by the fiscal incentives scheme is 
	 estimated at 0.2 in the short run and 0.24 in the long run. 
Classification-JEL:  O32, O38, H25, J30, C23
Keywords: Research and Development, R&D, R&D workers, wages, tax incentives
Series: UNU-MERIT Working Papers
Creation-Date: 2012
Number: 058
File-URL: http://www.merit.unu.edu/publications/wppdf/2012/wp2012-058.pdf
File-Format: application/pdf
File-Size: 275 Kb
Handle: RePEc:unm:unumer:2012058