We study the relationship between market structure and innovation in the global automobile industry from 1982 to 2004 … using the dynamic industry framework of Ericson and Pakes (1995). Firms optimally choose a continuous level of innovation in … parameter -- the cost of innovation. In terms of the relationship between market structure and innovation, we find that: (1) At …

How global are the gains from innovation? When firms operate production plants in multiple countries, technological …-2008. Our estimates indicate that innovation increases performance at firm locations beyond the innovating site: the median U … operations understate multinationals' gain from innovation, and revealing a spatial disconnect between the costs and potential …

three important phenomena: (1) the globalization of R&D, (2) the growing importance of software and IT to firm innovation … markets. One of the distinguishing features of the R&D globalization phenomenon is its concentration within the software … IT- and software-biased shift in innovation drove US MNCs abroad, and particularly drove them abroad to “new hubs” with …

We interpret recent developments in the field of artificial intelligence (AI) as improvements in prediction technology …. In this paper, we explore the consequences of improved prediction in decision-making. To do so, we adapt existing models … of decision-making under uncertainty to account for the process of determining payoffs. We label this process of …

internationalization, after growing until the 1970s, has stagnated or decreased somewhat. The level of internationalization of U.S. firms …

The globalization of firms is explored at theoretical and empirical levels. The idea is that a global firm is a multi …