Collins, Alan; Yao, Shujie - In: Applied Economics Letters 5 (1998) 12, pp. 785-788
In a recent article, Geroski and Walters (Economic Journal, 105, 1995, 916-928) suggest that changes in demand Granger cause changes in innovative activity but not vice versa. This note shows that inappropriate modelling methods can lead to such conclusions which exclude the possibility of...