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Economic Analysis and Statistics

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Firm Size and Research and Development Expenditures: A Canada-U.S. Comparison

by Thitima Songsakul, Bernice Lau and Daniel Boothby.

Abstract

We examine available statistical evidence on firm size and business expenditures on R&D (BERD) in Canada and the United States. We also develop a decomposition that provides a helpful framework for considering relevant research and development (R&D) variables including R&D intensity and incidence, and related firm characteristics including the firm size distribution and the relative firm output by size class.

Key words: BERD, business R&D intensity, firm size