Since the early 1990s, researchers have tried to show through endogenous growth models that the power which creates technological innovation is research and development (henceforth R&D) activities. The importance of R&D activities in the emergence of technological innovation is discussed in those models. Those models also highlight that countries can have strong economies only if they give importance to innovation and R&D activities and that developed countries are considered as technologically developed countries. Those models also emphasize that economic growth is in parallel with technological developments and that technological developments can be realized through investments in R&D. That is why the relation between R&D expenditures and economic growth has been studied over the years and not only the existence of this relationship but also its direction has recently become a hotly debated topic. This study aims to test whether R&D model predictions are valid for 76 countries' economies. The economic methodology used in this study is panel VAR analysis. Values for the GDP per capita variable that is considered to represent economic growth and R&D per capita variable that is considered to represent R&D activities have been obtained from the World Bank Database. The analysis of the annual data between 1996 and 2014 suggests that economic growth Granger-causes R&D spending, but there is no evidence to suggest that R&D spending has an impact on economic growth.