sufficiently better at judging an idea's value and if it is sufficiently more costly to patent low than high value ideas, VCs …-run performance, but also infl ates their acquisition prices, and lowers their acquirers' overall profits. Patent law usefulness …

measure of innovation alternative to patent count. Unlike the impact on patent count, we do not find that VC investment … impact on patent count at industry level, and this impact is larger than that of R&D expenditures. We confirm that this … and material. Therefore, our finding suggests that, at industry level, VC investment increases the patent propensity but …

productivity (TFP) growth and patent counts as measures of innovation. Using a panel AR regression as well as industry … 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 …

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

communicate valuable knowledge to an entrepreneur, facilitating innovation. The venture capitalist can also communicate the … transfer, and their implications for investment, innovation, and product market competition. The model also sheds light on the … choice between venture capital and other forms of finance, and the determinants of the decision to seek patent protection for …