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 …

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 …

: 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 …

more important for small-firm innovation than for their larger counterparts. …

environmental regulations can spur more rapid innovation. I present a general framework for the analysis of these questions. I …

sectors (inter-sectoral spillovers), or at the international level. We find that innovation is strongly driven by knowledge … spillovers, especially those occurring at the national level. Wind and solar technologies exhibit distinct innovation … only influential in the case of wind technology. We also find evidence that public R&D stimulates innovation, particularly …

China is different from both other low-wage and OECD countries. Industry-level import competition and firm-level outsourcing … to China reduce firm employment growth and induce skill upgrading. In contrast, industry-level imports have no effect on … Belgian firm survival, while firm-level outsourcing of finished goods to China even increased firm's probability of survival …