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F.2. Sources of R&D Funding from Abroad Source for Further Reading

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F.2. Sources of R&D Funding from Abroad Source for Further Reading F. INTERNATIONALISATION OF SCIENCE AND TECHNOLOGY F.2. Sources of R&D funding from abroad ■ Business research and development (R&D) is this case the European Union). Spain was the only financed by funds provided from within a country and country reporting almost 10% of finance originating from abroad. Foreign sources include other businesses, from other governments and foreign higher education public institutions (government agencies or institutions universities) or international organisations. According ■ to the Frascati Manual, foreign-funded R&D includes, for Again for the countries with available data, funding example, R&D performed by foreign affiliates when from other businesses comes largely from internal funded by the parent company (located abroad), but it corporate transfers (from the parent company to its excludes R&D that is funded domestically. affiliates abroad). This form of funding accounted for over 85% of the total in Denmark, the Slovak Republic ■ Foreign sources play a substantial role in the and Finland, and for over 50% in France, Austria and funding of business-sector R&D. Funds from abroad Norway. accounted for at least 15% of aggregate business R&D funding in 2007 in Austria, the United Kingdom, the Slovak Republic, Hungary, Canada and the Source Netherlands. In Turkey, Chile, Japan, Korea and Israel, • OECD (2009), OECD Science, Technology and Industry they accounted for less than 1% of the total. Scoreboard, OECD, Paris. ■ In most countries, the main providers of foreign For further reading funding are other businesses. Among the 16 countries • OECD (2002), Frascati Manual: Proposed Standard Practice for which data were available, Greece and Portugal for Surveys on Research and Experimental Development, were the only ones reporting over 50% of foreign OECD, Paris, www.oecd.org/sti/frascatimanual. funding supplied by international organisations (in Measuring flows of R&D funds R&D involves significant transfers of resources between units, organisations and sectors. In order to better measure and evaluate innovation policies and globalisation, it is important to trace the flow of R&D funds. According to the Frascati Manual, these transfers may be measured in two ways. One is performer-based reporting of the sums which one unit, organisation or sector has received or will receive from another unit, organisation or sector for the performance of intramural R&D during a specific period. The second is source-based reporting of extramural expenditures. These are the sums a unit, organisation or sector reports having paid or committed itself to pay to another unit, organisation or sector for the performance of R&D during a specific period. The first of these approaches is strongly recommended. For such a flow of funds to be correctly identified, two criteria must be fulfilled: • There must be a direct transfer of resources. • The transfer must be both intended and used for the performance of R&D. For further details on the identification of these criteria, see the Frascati Manual. 118 OECD ECONOMIC GLOBALISATION INDICATORS © OECD 2010 % 25 20 15 F. INTERNATIONALISATION OF 10 5 0 Austria (2006) Figure F.2.1. United Kingdom As a percentage of business enterprise R&D Slovak Republic Hungary Canada Funds from abroad,F.2. 2007 Sources of R&D funding from abroad % 100 Netherlands (2003) South Africa (2005) 80 Norway SCIENCE AND TECHNOLOGY Denmark (2005) 60 Business enterprisesFigure F.2.2. Iceland 40 Sweden 20 Belgium (2006) Italy 0 Business enterpriseEU27 R&D (2006)funded from abroad by source, 2007 Ireland (2006) France (2006) Korea Greece (2005) Russian Federation Denmark (2005) Government and higher education Estonia Switzerland (2004) Austria (2006) Spain (2006) New Zealand % 100 Finland Finland Poland 80 Slovak Republic Portugal (2005) 1 2Czech Republic 60 Norway Germany (2006) Luxembourg (2005) Slovenia 40 Sweden Figure F.2.3. Australia (2006) 20 Enterprises within the same group International organisationshttp://dx.doi.org/10.1787/842838411208China Belgium (2006) Mexico (2005) 0 Turkey Funding from foreignCzech enterprises, Republic 2007 Chile (2004) As a percentage of funds from abroad Japan Korea Netherlands (2003) Korea Israel (2005) Information on data forDenmark Israel: (2005) Italy (2006) OECD ECONOMIC GLOBALISATION INDICATORS © OECD 2010 France (2006) n.e.c. Austria (2006) 1 2 Slovenia (2006) Finland Spain (2006) Slovak Republic http://dx.doi.org/10.1787/842855306071 http://dx.doi.org/10.1787/888932315602 Turkey (2006) Norway Other business enterprises Portugal (2005) Sweden Greece (2005) Belgium (2006) Czech Republic . 1 2Italy (2006) France (2006) http://dx.doi.org/10.1787/842856531164Slovenia (2006) Spain (2006) Portugal (2005) 119 From: Measuring Globalisation: OECD Economic Globalisation Indicators 2010 Access the complete publication at: https://doi.org/10.1787/9789264084360-en Please cite this chapter as: OECD (2010), “Sources of R&D funding from abroad”, in Measuring Globalisation: OECD Economic Globalisation Indicators 2010, OECD Publishing, Paris. DOI: https://doi.org/10.1787/9789264084360-47-en This work is published under the responsibility of the Secretary-General of the OECD. The opinions expressed and arguments employed herein do not necessarily reflect the official views of OECD member countries. This document and any map included herein are without prejudice to the status of or sovereignty over any territory, to the delimitation of international frontiers and boundaries and to the name of any territory, city or area. You can copy, download or print OECD content for your own use, and you can include excerpts from OECD publications, databases and multimedia products in your own documents, presentations, blogs, websites and teaching materials, provided that suitable acknowledgment of OECD as source and copyright owner is given. All requests for public or commercial use and translation rights should be submitted to [email protected]. Requests for permission to photocopy portions of this material for public or commercial use shall be addressed directly to the Copyright Clearance Center (CCC) at [email protected] or the Centre français d’exploitation du droit de copie (CFC) at [email protected]..
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