To what extent does a tax credit affect firms’ R&D activity? What are the mechanisms? This paper examines the effect of … R&D tax credits on firms’ R&D expenditure by exploiting the variation across firms in the changes in the eligible tax … significant, indicating that the effect of tax credit is significantly larger for firms with relatively large outstanding debts …

This paper proposes a model where heterogeneous firms choose whether to undertake R&D or not. Innovative firms are more …-innovating firms. As a result, they are financially constrained while standard firms are not. The efficiency of the financial sector … and a country’s institutional quality relating to corporate finance determine the share of R&D intensive firms and their …

The paper aims at assessing discrete complementarities in innovation policies in the context of the Brazilian industry … on supermodularity and submodularity tests for obstacles to innovation (in the present application: lack of finance … analysis highlights the two phases of the innovation process in terms of the propensity and intensity of innovation. The …

environmentally-related taxes and tradable permits is likely to lead to greater technological innovation than more direct forms of … regulation such as technology-based standards. One of the principle reasons for such an assertion is that they give firms greater … aspects of product and labour market regulation which have implications for technological innovation, such as product and …

promotion. In this paper, we assess one popular justification for feed-in tariffs, i.e., induced innovation as a positive … spillover externality. Based on regressions with a time-technology fixed effect negative binomial model, we find that innovation …

gains taxation, innovation subsidies, public R&D spending and other policy initiatives. …

This paper introduces dynamics in the R&D to innovation and innovation to productivity relationships, which have mostly … individual effects and idiosyncratic errors correlated across equations and that differ in the way innovation enters the … information maximum likelihood using two unbalanced panels of Dutch and French manufacturing firms from three waves of the …

asymmetric firms operate for a limited period of time and dispose their knowledge capital in the end. Both firms and the social … venture, the firms do not necessary choose the highest degree of cooperation available. …

asymmetry into the A&J (1988) model leads to different R&D expenditures and production decisions made by the firms. Simulations … show that the bigger agent has larger R&D expenditures and higher output. If firms choose the monopoly collusion or the …

may even reduce welfare. The reason is that it crowds out proprietary innovation which on net may reduce total innovation … in the long run. These effects would be reinforced if philanthropical innovation diverted people from other productive …