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Role of Company Sales in Funding Research and Development by Major U.S. Paper Companies

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Forestry research is conducted by state and federal agencies and by many private firms. Studies of research productivity and efficiency are increasingly common in forestry, due to the greater scale of research activity, and increasing competition for both public and private funds. Research evaluations rely on accurate measures of research inputs and outputs. This article presents an equation to predict research inputs for five major firms in the U.S. pulp and paper industry. Pulp and paper research by major U.S. companies is very closely related to corporate sales each year. The relationship empirically supports important assumptions that have been used in studies evaluating aggregate returns to research. Forest Sci. 32:936-943.

Keywords: Research efficiency; econometrics; economic theory; research management

Document Type: Journal Article

Affiliations: Assistant Foresters of the Mississippi Agricultural and Forestry Experiment Station

Publication date: December 1, 1986

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