, researcherís work helps develop new ideas to add to firm's knowledge capital that enhances its productivity for many periods. The … long-lived effect of knowledge capital on productivity is analogous to the long-lasting effect of consumer durables on … knowledge capital. We show, however, that the relative role of the pricing of the two production inputs analogous to consumption …

between access to technical knowledge and low-cost high-skilled labor in the innovation location decision. Industry and … innovation costs and industry concentration then ensures that improved international knowledge diffusion coincides with an …In recent years firms have started to offshore their innovation activities to emerging economies. This paper …

We investigate what kind of competitive pressure induces existing firms to engage in more intensive innovation …

&D race while maintaining the collusive equilibrium in a repeated-game framework. Innovation under competitive R&D creates … inter-firm asymmetries, which destabilizes the collusive equilibrium. Innovation sharing through cooperative R&D preserves … the collusion stability but also raises social welfare. Interestingly, a welfare improvement is less likely if innovation …