effect on innovation. We develop a simple "trapped factor" model of innovation that is consistent with these empirical …

This paper investigates the relationship between product market competition (PMC) and innovation. A growth model is … reduce innovation incentives for laggards. There are four key predictions. First, the relationship between product market … competition (PMC) and innovation is an inverted U-shape. Second, the equilibrium degree of technological neck-and-neckness' among …

analysis proceeds in stages. It begins with an exogenous rate of innovation in order to focus on the first two components. The … last two components are added by endogenizing the rate of innovation. Finally, the paper considers the role of foreign …

We develop a two-country model of endogenous innovation and imitation in order to study the interactions between these … maximizing entrepreneurs. The steady-state equilibrium is characterized by constant aggregate rates of innovation and imitation …

We construct a model of the product cycle featuring endogenous innovation and endogenous technology transfer …

We develop a multi-country, dynamic general equilibrium model of product innovation and international trade to study …

-run growth by increasing the profit from innovation. In the short run, factors of production must be reallocated inside firms …, which lowers the opportunity cost of innovation, generating an additional trapped factor effect. Starting from a baseline …

Empirical studies have found that enhanced foreign competition can encourage or discourage innovation. To address this …-product firms live forever, and the large firms invest in innovation in order to enlarge their product spans. All firms export. I … show that an increase in the competitiveness of foreign firms can increase or reduce innovation efforts of a large multi …