Government science and technology budgets in times of crisis

Following a recent paper by Filippetti and Archibugi [Filippetti, A., Archibugi, D., 2011. Innovation in times of crisis: National systems of innovation, structure and demand. Research Policy 40(2), 179–192], this article aims to contribute to the sparse literature on the impacts of the recent economic downturn on the government expenditures and innovative activities of the countries of the enlarged European Union (EU-27). Using Eurostat's socio-economic objectives i.e. the Nomenclature for the Analysis and Comparison of Scientific Programmes and Budgets (NABS 2007 classification), this paper addresses the impact of the recent economic downturn on governments’ science and technology (S&T) budgets across the 27 EU countries. Most countries followed a pro-cyclical pattern, where the government S&T budgets in most NABS shrunk along slowing gross domestic product growth in similar pace with total government expenditure. The new member states of Eastern Europe were the most affected.

► This paper assesses the impact of the recent economic crisis on S&T budgets.
► Most countries follow a pro-cyclical pattern.
► S&T budgets have followed EUs sluggish economic growth.