featuring (1) quality-segmented markets, (2) step-by-step innovation that moves firms forward along the quality ladder, and (3 …, the impact of trade on innovation depends critically on how it drives scale and competition in high- versus low-quality …Innovation depends on exporting and, in particular, on scale and competition in export markets. We develop a theory …

As an empirical example of this externality, we analyze the innovation induced by the obesity epidemic. Obesity is … associated with an increase in the incidence of many diseases. The induced innovation hypothesis is that an increase in the … incidence of a disease will increase technological innovation specific to that disease. The empirical economics literature has …

). We present models in the literature that extend the EK model of trade to innovation, diffusion, and multinational firms …

welfare effects and point to migration and, to a lesser extent, innovation as important adaptation mechanisms. We use the …

This paper investigates the effect of export shocks on innovation. On the one hand a positive shock increases market … size and therefore innovation incentives for all firms. On the other hand it increases competition as more firms enter the … export market. This in turn reduces profits and therefore innovation incentives particularly for firms with low productivity …

-dimensional connections between globalization and innovation. We develop a model that features many of those mechanisms that connect trade and … innovation. It features the joint selection of firms into innovation and international market participation (in our model, we … for innovation …