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Impact Evaluation of Business Development Grants on SME PerformanceSME performance (CROSBI ID 276660)

Prilog u časopisu | izvorni znanstveni rad | međunarodna recenzija

Srhoj, Stjepan ; Lapinski, Michael ; Walde, Janette Impact Evaluation of Business Development Grants on SME PerformanceSME performance // Small business economics, 57 (2021), 1285-1301. doi: doi.org/10.1007/s11187-020-00348-6

Podaci o odgovornosti

Srhoj, Stjepan ; Lapinski, Michael ; Walde, Janette

engleski

Impact Evaluation of Business Development Grants on SME PerformanceSME performance

An assessment of the economic impact that can be achieved through grants makes it possible to refine such policy instruments in order to make public funding more effective in relation to the objectives pursued. In this paper, we investigate the effects of a business development grant scheme. More specifically we question whether firms’ performance measures increased after receiving such grants. Methodically, we match grant receiving firms with grant non-receivers and estimate the average treatment effect on the treated using a two way fixed effects regression. Our results point towards a positive effect of the grant scheme, which is particularly evident for firms of smaller size. Our estimated dose- response functions show that the share of grant amount in firm profits needs to be high enough for the grants to be effective. According to back of- the envelope analysis, benefits outweigh the direct scheme costs.

business development grants ; policy evaluation ; two way fixed effects regression ; matching ; heterogeneous treatment effects ; dose-response-function

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Podaci o izdanju

57

2021.

1285-1301

objavljeno

0921-898X

1573-0913

doi.org/10.1007/s11187-020-00348-6

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