We analyze the process of technological innovation from the perspective of developing countries. Specifically, we explore how developmental and regulatory impediments to the process of resource reallocation and firm renewal limit the ability of developing countries to adopt new technologies....

We explore how developmental and regulatory impediments to resource reallocation limit the ability of developing countries to adopt technologies: an efficient economy quickly innovates; but when the economy is unable to fully use resources liberated by closing firms, or when policy distortions...

We explore how regulatory or institutional distortions to resource reallocation limit the ability of developing countries to adopt new technologies. An efficient economy innovates quickly; but when the economy is unable to redeploy resources away from inefficient uses, technological adoption...