The Effects of Privatization on R&D Investments and Patent Productivity

摘要: Over the last two decades privatization programs in different countries have radically reduced role of State as a key player economic arena. We use agency theory to discuss theoretical elationship between changes firm's principal-agent structure following privatization, incentives invest R&D and performance. compare pre- post- effort outcomes 35 companies that were fully or partially privatized European Union through public share offers 1980 1997. Our results show that, after controlling for inter-industry differences, switch private ownership leads decrease overall ontemporaneous increase quantity patents granted their quality, measured by intensity citations. Taken together, these findings support expectation increased innovation productivity divestment.