How do political connections affect firm dynamics, innovation, and creative destruction? To answer this question, we … build a firm dynamics model, where we allow firms to invest in innovation and/or political connection to advance their …

linking firms' financial and production data with the patent information, we estimate a modified knowledge production function …

presents some empirical evidence on the e®ects of innovation on employment growth and therefore on ¯rms' productivity with the … innovation. The sources of employment growth during the period are split equally between the net contribution of product … innovation and the net contribution from sales growth of old products. However, the contribution of product innovation is …