TY - JOUR
T1 - Buyers' role in innovation procurement: Evidence from US military R&D contracts
AU - Decarolis, Francesco
AU - de Rassenfosse, Gaétan
AU - Giuffrida, Leonardo M.
AU - Iossa, Elisabetta
AU - Mollisi, Vincenzo
AU - Raiteri, Emilio
AU - Spagnolo, Giancarlo
PY - 2021/11/1
Y1 - 2021/11/1
N2 - This study provides the first quantification of buyers' role in the outcome of R&D procurement contracts. We combine together four data sources on US federal R&D contracts, follow-on patented inventions, federal public workforce characteristics, and perception of their work environment. By exploiting the observability of deaths of federal employees, we find that managers' death events negatively affect innovation outcomes: a 1% increase in the share of relevant public officer deaths causes a decline of 32.3% of patents per contract, 20.5% patent citations per contract, and 34.3% patent claims per contract. These effects are driven by the deaths occurring in the 6 months before the contract is awarded, thereby indicating the relevance of the design and award stage relative to ex post contract monitoring. Lower levels of self-reported within-office cooperation also negatively impact R&D outcomes.
AB - This study provides the first quantification of buyers' role in the outcome of R&D procurement contracts. We combine together four data sources on US federal R&D contracts, follow-on patented inventions, federal public workforce characteristics, and perception of their work environment. By exploiting the observability of deaths of federal employees, we find that managers' death events negatively affect innovation outcomes: a 1% increase in the share of relevant public officer deaths causes a decline of 32.3% of patents per contract, 20.5% patent citations per contract, and 34.3% patent claims per contract. These effects are driven by the deaths occurring in the 6 months before the contract is awarded, thereby indicating the relevance of the design and award stage relative to ex post contract monitoring. Lower levels of self-reported within-office cooperation also negatively impact R&D outcomes.
UR - http://www.scopus.com/inward/record.url?scp=85108265104&partnerID=8YFLogxK
U2 - 10.1111/jems.12430
DO - 10.1111/jems.12430
M3 - Article
C2 - 34819715
VL - 30
SP - 697
EP - 720
JO - Journal of Economics & Management Strategy
JF - Journal of Economics & Management Strategy
SN - 1058-6407
IS - 4
ER -