Incentive effects of R&D tax incentives - a meta-regression analysis focusing on R&D tax policy designs

Despite the growing literature on the effectiveness of R&D tax incentives, little is known about differing design aspects of the underlying R&D tax policies. In this paper, I apply sophisticated meta-regression methodology to separate the distinct provisions through which various R&D tax policies affect firms' R&D expenditure. My results indicate on average larger input additionality effects of hybrid tax regimes compared to volume-based schemes, while incremental tax measures seem to provide the lowest incentives for firms. My findings are particularly important for policy makers optimizing the design of an R&D tax policy.