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Competition between Basic and Applied Research in the Organizational Behaviour of Public Research Labs

The purpose of this paper is to investigate the competition between basic and applied research within public research organizations. International publications are considered here a proxy of basic research, whereas self-financing deriving from technology transfer activities is an indicator of applied research. Results suggest, within one of the largest European research organizations an increasing competition between basic and applied research, both in human and natural sciences, due to shrinking of public research lab budgets. In particular, institutes and scientists pay more attention to applied research activities, which are capable of attracting market funds for economic survival of public research labs but this organizational behaviour reduces basic research activity in the long run. Managerial and organizational behaviour of public research organizations are also discussed.