Van Anh Vuong
School of Business and Economics
6211 LM Maastricht
Tel: +31(0)43 3884826
Institutional Affiliation: Maastricht University
NBER Working Papers and Publications
|November 2018||Firm R&D Investment and Export Market Exposure|
with Bettina Peters, Mark J. Roberts: w25228
In this article we study differences in the returns to R&D investment between firms that sell in international markets and firms that only sell in the domestic market. We use German firm-level data from the high-tech manufacturing sector to estimate a dynamic structural model of a firm's decision to invest in R&D and use it to measure the difference in expected long-run benefit from R&D investment for exporting and domestic firms. The results show that R&D investment leads to a higher rate of product and process innovation among exporting firms and these innovations have a larger impact on productivity improvement in export market sales. As a result, exporting firms have a higher payoff from R&D investment, invest in R&D more frequently than firms that only sell in the domestic market, ...
|February 2016||Dynamic R&D Choice and the Impact of the Firm's Financial Strength|
with Bettina Peters, Mark J. Roberts: w22035
This article investigates how a firm's financial strength affects its dynamic decision to invest in R&D. We estimate a dynamic model of R&D choice using data for German firms in high-tech manufacturing industries. The model incorporates a measure of the firm's financial strength, derived from its credit rating, which is shown to lead to substantial differences in estimates of the costs and expected long- run benefits from R&D investment. Financially strong firms have a higher probability of generating innovations from their R&D investment, and the innovations have a larger impact on productivity and profits. Averaging across all firms, the long run benefit of investing in R&D equals 6.6 percent of firm value. It ranges from 11.6 percent for firms in a strong financial position to 2.3 perc...
Published: Bettina Peters & Mark J. Roberts & Van Anh Vuong, 2017. "Dynamic R&D choice and the impact of the firm's financial strength," Economics of Innovation and New Technology, vol 26(1-2), pages 134-149. citation courtesy of
|August 2013||Estimating Dynamic R&D Demand: An Analysis of Costs and Long-Run Benefits|
with Bettina Peters, Mark J. Roberts, Helmut Fryges: w19374
This paper estimates a dynamic structural model of discrete R&D investment and quantifies its cost and long-run benefit for German manufacturing firms. The dynamic model incorporates linkages between the firm's R&D choice, product and process innovations, and future productivity and profits. The long- run payoff to R&D is measured as the proportional difference in expected firm value generated by the R&D investment. It increases firm value by 6.7 percent for the median firm in high-tech manufacturing industries but only 2.8 percent in low-tech industries. Simulations show that reductions in maintence costs of innovation significantly raise investment rates and productivity while reductions in startup costs have little effect.
Published: "Estimating Dynamic RD Demand: An Analysis of Costs and Long-Run Benefits", with Bettina Peters, Van Anh Vuong, and Helmut Fryges, Rand Journal of Economics, Vol. 48, No. 2 (Summer 2017), pp. 409-437