Year of Graduation
Influence of Board of Directors’ Monitoring on High- tech Companies’ R&D Intensity
This study aims to highlight the impact of BoD independent members’ monitoring on firms' research and development intensity. Human capital of outside directors also influences firms’ attitude toward investing in innovations. This paper examines how board of directors’ monitoring facilitates corporate R&D investment in the face of decision control and outside directors’ characteristics. We have chosen panel regression analysis as a main method of research, performed econometric tests and have chosen fixed effects model with cluster option instead of random effects model. The sample consisted of publicly traded United States firms in biotechnology and pharmaceuticals (2015 to 2018).