's innovation and export activities, using unique firm survey data which provides direct measures for innovations and firm … export and innovation activities to become substitutes although they are generally natural complements. …

into account firm heterogeneity. We find support for the prediction that competition has a negative effect on innovation … are important channels for domestic firm innovation. We do not find support for the inverted U effect of competition on … innovation. There is partial support for the hypothesis that firms in a more pro-business environment invest more in innovation …