Using a narrative identification of tax changes in the United States over the post-WWII period, we document that a temporary cut in corporate income tax rates leads to a long-lasting increase in innovation and productivity, whereas changes in personal income tax rates only have short-term...

Investment decision-making is modeled by means of a Kohonen neural net, whose neurons represent firms as decision-makers. Thus, the network reconstructs collective decision-making by the productive system. This model focuses on the decision to invest in novel fields of activity, which requires...

We deal with new product preannouncements in markets where customer preferences are unknown and highly unstable, as would be the case with disruptive product innovations. Our analysis is focused on the tradeoff between the firms incentive to influence consumer preferences via preannouncements...