In this paper we examine the relationship between innovation and firm growth. We implement a classification of innovations based on whether they are explorative or exploitative, taking advantage of a unique Swedish dataset for the period 1997 to 2012. The data allows us to construct each firm's...

This paper analyses how increased R&D expenditures and market size influence the distribution of comparative advantage. Previous studies report ambiguous results and also refer to periods when markets where much more segmented and production factors less mobile. The empirical analysis comprises...

Previous research has been inconclusive as regards the effect of outward foreign direct investment (FDI) on domestic investments. In this article, we show that this inconclusiveness can be explained at a disaggregated level as a function of the way industries are organized. Based on a simple...