A Comparative Investigation of the Relation of R&D Expenditures to Economic Growth in a Group of the Less Developed Countries and OECD Countries

Abstract

This research attend to relation between expenditures of research & development & economic growth in two groups of less developed & OECD countries with a panel data model & statistical inputs of less developed countries & developed countries, we survey effect quantity of these expenditures on economic growth in two groups of countries. The first question appearance is that the research is more importance for OECD countries. These countries allocate huge budget to research & development, that in 30 of OECD countries cost %81 of total R&D of the world however, less develop countries allocate little expenditure to the part of R&D thus coefficients of R&D variable show that investment in research is more effected in economic growth of OECD countries as compared with less developed countries. This show that less developed countries allocate their little budgets of R&D to ceremonial affair & they don’t pass of research stage to technology that industry needs but OECD countries can to reduce the result of this researches to productive crops, presses & services.