that venture capital investments stimulate innovation ('VC-first hypothesis'). This interpretation is, however, one …-sided because there may be a reverse causality that innovations induce venture capital investments ('innovation-first hypothesis … causality issue of venture capital investments and innovation in the US manufacturing industry using both total factor …

endogenous share opts for innovation and faces credit constraints in the subsequent expansion phase. We emphasize four results …: (i) R&D subsidies not only encourage innovation but also relax finance constraints and help innovative firms to exploit … investment of constrained firms by reducing free cash-flow and thereby discourage innovation. (iii) A revenue neutral increase in …

measure of innovation alternative to patent count. Unlike the impact on patent count, we do not find that VC investment …

regard to the capital gains tax, innovation subsidy, public R&D spending and other policy initiatives. …

We study the interplay between transportation infrastructure, knowledge flows, and innovation. Exploiting historical … variation, we estimate the effect of U.S. interstate highways on regional innovation. We find that a 10% increase in a region … flow of local knowledge and allow innovators to access more distant knowledge inputs. This finding suggests that …

externalities and their impact on regional innovation. We examine MSA-level patent data during the period 1975-2000 and find that … innovation output is higher in regions where large and small firms coexist. The finding is robust to across-region as well as …