Government Spending vis-à-vis Business Enterprise Investments on Research and Development
This paper investigated the association of government spending and business enterprise investment to research and development sectors. The study utilized the data on gross expenditures on R&D (GERD), expressed in dollars, from the UIS data bank. Ratios of R&D business enterprise investment over government spending revealed that Agriculture, Humanities, and Social Sciences are usually governmentally funded; Engineering and Technology, and Medicine and Health Sciences are business-enterprise driven, and Natural Sciences is financed by both. It was also found out that businessmen tend to support R&D sectors in high and middle-income countries, while government officials in low-income countries tend to support them. Among the sectors, only E&T, NS and SS have highly significant and positive association on public and private spending.