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 …

technological lead spawn more successful spinouts. Building on these observations, I build a structural model of innovation and firm … dynamics, where firm heterogeneity arises from endogenous decisions of innovation workers to become entrepreneurs and create … affecting employee entrepreneurship for aggregate innovation and growth …

government provide incentives for innovation in a fiscally sustainable way? We address this question by examining the Ramsey … problem of finding optimal tax and subsidy schemes in a model in which growth is endogenously sustained by risky innovation …. We characterize the shadow value of growth and entry in the innovation sector. We find that a profit tax is required to …

We study the relationship between patents and actual product innovation in the market, and how this relationship varies … consumer goods sector. We find that patent filings are positively associated with subsequent product innovation by firms, but … at least half of product innovation and growth comes from firms that never patent. We also find that market leaders use …