Skilled labor is a key input to the innovation process. A shortage in supply of skilled labor may hence impede … innovation activities, resulting in lower productivity gains. While governments are concerned about these likely negative impacts …, there is only limited empirical evidence whether and to what extent labor shortage affects innovation activities. The paper …

Our study shows empirically that the choice of resource allocation strategy affects innovation performance. A policy of … allocating resources to a broader range of innovation projects increases sales of new products, especially if these are truly … stronger for firms that allocate resources more selectively at later stages of the innovation process. Based on these results …

In 2020, firms expected their innovation expenditures to decrease by about 2% in 2020 compared to 2019. This decline is … much smaller than that in 2009 following the financial crisis, when innovation expenditures fell by 11%. However, smaller … firms with 5 to 99 employees planned to cut their innovation expenditures by 7% to 17 % in 2020. For 2021, firms planned a …