The Impact of Project-Based Funding in Science: \r\nLessons from the ANR Experience

Competitive allocation of funds to research proposals is a mechanism widely used by government agencies to sustain the projects of researchers in universities and other research institutions. However, little is known about how efficient this mechanism is in practice, how it affects the recipients’ behaviors and how it would be possible to improve the precise design of such funding allocation mechanisms. This article provides new answers to those questions, relying on empirical evidence stemming from the creation of a French generalist and nationwide research funding agency in 2005. The impact of receiving a grant on the research outputs as well as on the collaborations of the grantees is precisely quantified. Moreover, the impact on citations turns out to be more than double when funds are distributed in the more competitive non-thematic programs and to be significantly larger when allocated to younger recipients.