Taxes, R&D Expenditures, and Open Innovation: Analyzing OECD Countries

This paper aims to measure the effect of tax contributions in promoting innovation while highlighting role corporate taxes governance quality nations within and outside Organization for Economic Co-operation Development (OECD). The study applied generalized method moments (GMM) framework found that good invariably increases Innovation Index. Moreover, research development expenditures revealed a positive association with However, paid by business sector harm Following investigation, we recommended policymakers should plan well balance costs incentives, avoid stimulating unproductive innovations or affecting operating budgets.