Innovation and technological progress are the key determinants of long-run economic growth and welfare. Therefore, an … important question is, how can public policy encourage more innovation? In this chapter, I review some of the empirical findings … from various recent studies on innovation and firm dynamics that can shed light on the design of innovation policy. The …

topics innovation, catch-up, and sustainability. Innovation is driving catch-up processes and is the condition for a … dynamics, heterogeneity, novelty, and innovation as well as transformation are the most attractive fields in economics today … better understanding of innovation, catch-up, and sustainability, and Schumpeterian economics in general. …