This paper considers the value of innovation to large Australian firms. Specifically, we investigate how R&D and intellectual property activity influences the market value of firms, using a Tobin’s q approach. R&D data are available for the period 1994–96 and data on patent, trade mark and design applications for 1996. The findings suggest that R&D and patent activity are positively and significantly associated with market value. The results also suggest that private returns to R&D in Australia are low by international standards.
Bosworth, D., & Rogers, M. (2001). Market value, R&D and intellectual property: an empirical analysis of large Australian firms. Economic Record, 77(239), 323-337. https://doi.org/10.1111/1475-4932.t01-1-00026