Informing
Policy
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Public Policy, Locational Choice and the Innovation Capability of High-Tech Firms: A Comparison Between Israel and Ireland – SNI R&D Policy Papers Series

Daniel Shefer, Amnon Frenkel
Report /
January 2001

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Shefer, D., & Frenkel, A. (2001). Public Policy, Locational Choice and the Innovation Capability of High-Tech Firms: A Comparison Between Israel and Ireland – SNI R&D Policy Papers Series. Samuel Neaman Institute.
https://www.neaman.org.il/en/locational-choice-the-innovation-capability-high-tech-a-comparison-between-israel-ireland-sni-rd-policy-papers-series/

Using survey data from Irish and Israeli firms we examine the influence of public policy on the characteristics, location and innovation capability of high-tech firms. In Israel the innovation activities of Israeli firms are found to be much more locationally sensitive than that of Irish companies. Regional policy incentives, involving the dispersal of high-tech firms to peripheral areas of Ireland are therefore likely to have had little negative effect on firms’ innovation capabilities. In Israel, however, inducing highly R&D intensive firms to locate away from the main metropolitan areas may be counter-productive.

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