The Importance of Market Size and Structure and A Type of Sector for The Trends in The Research and Development Expenses

The aim of the study is to identify the impact of market size and structure and a type of sector on the trends in research and development expenses. The study deals with the public enterprises of an active status registered in 23 European countries, whose data were attributed to the successive sectors according to Bureau van Dijk (BvD Sectors) classification. The results of the study confirmed the correlation between market concentration and the trends in research and development expenses, although the direction of the relation differs from the study results obtained by the proponents of market monopoly for strengthening innovation. The study also confirmed the hypothesis that the inequalities measured by the Gini coefficient in the specific indicators influence the research and development expenses and the amount of intangible assets.