Circular Causality of R&D and Export in EU countries

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Dilek Cetin
Michele Cincera


The main objective of the study is to explore the relationship between Research and Development (R&D) investments and export behaviour in EU countries in the aspect of competitiveness. To this end, the micro-aggregated Community Innovation Survey 3 (CIS3) is used. Both the volume and the decision of R&D investment and export are found to be mutually dependent. Particularly, in manufacturing industry, the effect of export on R&D is underestimated and the one of R&D on export is overestimated. In the knowledge intensive sectors, circular causality link is broken between the R&D and export.


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Cetin, D., & Cincera, M. (2015). Circular Causality of R&D and Export in EU countries. World Journal of Applied Economics, 1(1), 82-105.
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