The impact of the COVID-19 pandemic on the level and distribution of intangibles investment in the UK

Figures & data

Table 1. Variable descriptions

Variable	Definition
∆R&D	Percentage change in investment in R&D compared to year to March 2020 (top-coded at 100)
∆ICT	Percentage change in investment in information and communication technologies compared to year to March 2020 (top-coded at 100)
ln emp	Natural logarithm of employment within UK in March 2020
ln age	Natural logarithm of 2021 minus year in which firm commenced operations in the UK
family	Dummy coded 1 if firm is family owned
multiplant	Dummy coded 1 if firm has more than one workplace in the UK
multinational	Dummy coded 1 if firm belongs to an organization that has workplaces overseas
Industry dummies	Dummies coded 1 if firm’s main product or service was in particular standard industrial classification 2007 section (Omitted category is Manufacturing)
Region dummies	Dummies coded 1 if firm’s largest workplace is in particular government office regions (omitted category is South East)
Main input source dummies	Dummies coded 1 if firm’s main source of inputs was rest of the UK, European Union or rest of the world (omitted category is local)
Main market dummies	Dummies coded 1 if firm’s main market was rest of the UK, European Union or rest of the world (omitted category is local)

Figure 1. Histogram of change in investment in

Table 2. Results from OLS estimation of Equation (1)(1) $\begin{array}{rl}& \underset{j}{\overset{ind}{{\sum }^{\gamma }}}in{d}_{ji}+\underset{r}{\overset{reg}{{\sum }^{\gamma }}}re{g}_{ri}+\underset{s}{\overset{sou}{{\sum }^{\gamma }}}sourc{e}_{si}\\ & +\underset{d}{\overset{mar}{{\sum }^{\gamma }}}marke{t}_{di}+{\epsilon }_i\end{array}$(1)

	(1)	(2)
Dependent Variable	∆R&D	∆ICT
ln emp	−1.44	−0.57
ln age	−10.17***	2.26
family	−2.51	−6.16
multiplant	4.42	11.41***
multinational	−0.90	−8.35
Industry
Agriculture, Forestry and Fishing	−10.16	31.19*
Construction	−3.71	11.01
Wholesale and retail trade	−20.07***	12.83*
Transportation and storage	−37.96***	−3.53
Accommodation and food service activities	−38.47***	−9.79
Information and communication	8.80*	21.82***
Financial and insurance activities	−21.00*	26.73***
Real estate activities	−46.86**	21.56
Professional, scientific and technical activities	5.67	24.76***
Administrative and support service activities	−14.55**	13.80**
Education	−10.89	21.92**
Human health and social work activities	−4.58	32.99***
Arts, entertainment and recreation	−37.70***	−6.05
Other service activities	−18.87	4.25
Region
North East	11.15	0.33
North West	5.11	13.79*
Yorkshire/Humberside	16.34**	12.11
East Midlands	13.07*	4.41
West Midlands	10.26	0.73
East	10.35	9.72
London	0.37	−6.48
South West	2.00	4.64
Wales	21.45***	3.30
Scotland	6.51	3.63
Northern Ireland	18.53	24.55
Main input source
Rest of UK	3.09	2.04
EU	1.78	−3.08
Rest of World	4.25	2.57
Main market
Rest of UK	10.21**	−1.05
EU	−6.23	0.67
Rest of World	17.93***	17.86*
Intercept	9.28	−24.48*
F-statistic
Industry dummies	5.85***	2.83***
Region dummies	1.40	1.16
Main input source dummies	0.25	0.19
Main market dummies	5.44***	1.39
Observations	1,037	1,019

*/**/*** denotes statistical significance at the 10%/5%/1% levels. Full results are in Table S8.