Economic leterature has stressed the importance of collaboration among accademia, industry and government as a key driver of innovation. This paper analyses the effects of public funding in promoting cooperation in innovation activities in Italy and in Germany, using data from the sixth Community Innovation Survey. The results show that in both countries receiving public support is positively related to undertaking collaborative innovation, but in Germany this relationship is the strongest. In Italy it varies depending on the funding source, whereas regional incentives on promoting collaboration are weak. This result is largely related to the size of the firm benefiting from this type of pubblic support (small and medium-sized firms) and from the industrial sector theyb belong to (low-technological industries). Additionally, the data show that public financial support also influences the choice of partners, making it easier for firms to adopt a more complex rqange of linkages, including suppliers, clients, and reaserch institutions.
Keywords: Innovation policy, Cooperation, Public funding: Behavioural additionality, Community Innovation Survey
Jel Code: O31; O32