The Impacts of Government Grants on Firm Behaviors

DOI

10.2991/assehr.k.211209.038How to use a DOI?

Keywords

Innovation; Government Grant; Firm Behaviors

Abstract

Government grants play a key role in the firm’s innovation. It helps the firm to innovate products, improves the firm’s development, and promotes the firm’s growth. Based on a competition-based government grant program called Innovate UK, I find a significant relationship between government grants and firm behaviors. For the empirical analysis, I adopt OLS (Ordinary Least Square) regression models with the company and time fixed effects. Specifically, the data shows that winning a grant increase the firm’s total asset, short-term liabilities, long-term liabilities, and the firm’s intangible asset. By showing that government grants can accelerate the innovation and the growth of the firm and the firm’s products to some extent, this paper highlights the government’s role in shaping the firm’s innovation behaviors.

Copyright

© 2021 The Authors. Published by Atlantis Press International B.V.

Open Access

This is an open access article under the CC BY-NC license.

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TY  - CONF
AU  - Rui Chen
PY  - 2021
DA  - 2021/12/15
TI  - The Impacts of Government Grants on Firm Behaviors
BT  - Proceedings of the 2021 3rd International Conference on Economic Management and Cultural Industry (ICEMCI 2021)
PB  - Atlantis Press
SP  - 226
EP  - 234
SN  - 2352-5428
UR  - https://doi.org/10.2991/assehr.k.211209.038
DO  - 10.2991/assehr.k.211209.038
ID  - Chen2021
ER  -