innovation activities. The selection of high-skill managers is more important for innovation activities. As the economy … investments, but little selection. Closer to the world technology frontier, there is a switch to an innovation-based strategy with …

innovation and imitation. We develop a theoretical model showing that skilled labour has a higher growth-enhancing effect closer … to the technological frontier under the reasonable assumption that innovation is a relatively more skill intensive … activity than imitation. Also, we provide evidence in favour of this prediction using a panel dataset covering 19 OECD …

making their products technologically hard to reverse-engineer. We consider the dynamics of imitation and investment in such …

contracts, there is too little innovation and too much imitation in equilibrium. Our model is tractable and allows us to analyze … welfare effects of various policies in the limited commitment case. We find that subsidizing innovation and taxing imitation … improves welfare.Moreover, allowing innovation firms to charge quit fees or rent out workers to imitation firms also improves …

firm's incentives for R&D. These changes influence the probability of innovation through two effects: changes in total R … shift from the rival firm to the dominant firm is a good thing as it decreases the likelihood of duplicate innovation (we … rights are strong. That is, firm dominance is good for innovation when (but only when) property rights are strong. We also …

: imitation of Northern products; imitation and innovation; and finally, innovation only. In particular, the model has the … that the possible equilibria depend on cross-country assimilation effects and the ease of imitation. We then apply the …. First, because subsidies to Southern innovation benefit the North as well, it is beneficial to the North to pay for some of …

The intellectual breakthrough contributed by the new growth theory was the recognition that investments in knowledge … and human capital endogenously generate economic growth through the spillover of knowledge. Endogenous growth theory does …

We review the role of R&D in endogenous growth theory, and describe extant empirical research – macro and micro …

We introduce firm and worker heterogeneity into a model of innovation-driven endogenous growth. Individuals who differ …