earticle

영어

Given the ongoing debates in many aspects of finance, more attention may need to be drawn to corporate R&D expenditure for academics and practitioners in the international perspective. In general, the study empirically tests financial determinants to determine the R&D expenditures for the NYSE-listed and the KOSPI-listed firms. Three major hypotheses were postulated to test for corporate R&D outlay with applying relatively robust econometric estimations. In the first hypothesis, the proposed variables such as Lag_RD, MVLEV, PFT and CASHHOLD showed their significant influence on the level of corporate R&D costs for the sample firms across the U.S. and Korean capital markets. Moreover, financial factors inclusive of SQlag_RD, RANDDIND, NDTS, GROWTH, and ACCT, revealed their significance to discriminate between the two groups on a relative basis in the second hypothesis. Finally, in the CQR analysis for financial factors including R&D-related variables related to corporate growth rate, it was interesting to find that the NYSE-listed firms had a statistically significant linkage between the growth potential and Lag_RD, only in the lower quantile levels. The study may shed a new vision on identifying financial factors which may share commonalities and show differences between the U.S. market (as advanced one) and the Korean market (as emerging one) in terms of corporate R&D activities, with which optimal level of R&D investments may be attained for shareholders.