This paper analyzes the role of National Research Funds in promoting scientific production in emerging economies. The investigation focuses on the impact of the Chilean National Science and Technology Research Fund (FONDECYT). The analysis uses data drawn from international sources of...

In this paper, we analyzed the effectiveness of a Chilean TDF, the FONTEC program. We found that FONTEC’s subsides partially crowded-out private investments in innovation and they more effectively promoted technological upgrades and process innovations, rather than radical product innovations....