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Modern View
SELF-SELECTION
(2)
answer(s).
Srl
Item
1
ID:
149769
Self-selection and performance of R&D input of heterogeneous firms: evidence from China's manufacturing industries
/ Ke, Shanzi; Feng, Ping
Ke, Shanzi
Journal Article
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Summary/Abstract
Applying the theories of heterogeneous firms and the propensity score matching difference-in-differences (PSM-DID) method to a rich dataset of Chinese manufacturing firms, this paper examines the self-selection of firm-level R&D input and estimates the net effect of R&D on productivity. The analysis shows that (1) for Chinese manufacturing firms as a whole, R&D input is influenced by firm productivity: more productive firms are more likely to invest in R&D; (2) controlling for the self-selection effect, the net output elasticities of R&D input in one year and two years after R&D input are 3.92% and 5.25%, respectively; (3) although state-owned enterprises (SOEs) are more likely than all other ownership groups to invest in R&D, the R&D input is not productive; (4) although enterprises owned by investors outside of Mainland China are the least likely to invest in R&D, the output elasticity of R&D is more significant and larger in this group than in SOEs and privately owned Chinese firms; and (5) surprisingly, the net effect of R&D is not significant in high-tech industries. Policy implications are derived from the findings.
Key Words
Heterogeneous Firms
;
Self-Selection
;
PSM-DID Method
;
Net Effect of R&D
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2
ID:
185481
Self-Selection and Recruit Quality in Sweden’s All Volunteer Force: Do Civilian Opportunities Matter?
/ Bäckström, Peter
Bäckström, Peter
Journal Article
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Summary/Abstract
This paper studies how local labour market conditions influence the quality composition of those who volunteer for military service in Sweden. A fixed-effects regression model is estimated on a panel data set containing IQ scores for those who applied for military basic training across Swedish municipalities during the period 2010 to 2016. The main finding is that low civilian employment rates at the local level tend to increase the mean IQ score of those who volunteer for military service, whereas the opposite is true if employment rates in the civilian labour market move in a more favourable direction. As such, the results suggest that the negative impact of a strong civilian economy on recruitment volumes is reinforced by a deterioration in recruit quality.
Key Words
Military recruitment
;
Enlistment Test
;
Military Labour Market
;
Self-Selection
;
Roy Model
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