This is one of the few basically undisputed findings in public economics. Government funded R&D is about as close as it gets to a free lunch.
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Alexander Berger
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Is the TFP return better or worse than returns to industry R&D?
I assume better, because the government selects for research with public benefit / has a longer term perspective when investing?
I’m not sure that’s the right question given they are different pools of funding and most of the evidence actually suggests public R&D spending tends to crowd in private by opening new fields. Truly, a near free lunch.