Innovation and technological progress are the key determinants of long-run economic growth and welfare. Therefore, an … important question is, how can public policy encourage more innovation? In this chapter, I review some of the empirical findings … from various recent studies on innovation and firm dynamics that can shed light on the design of innovation policy. The …

How do political connections affect firm dynamics, innovation, and creative destruction? We extend a Schumpeterian … how political connections influence an economy's business dynamism and innovation, and generate a number of implications …