expensive and innovation investments that increase labor productivity are more profitable. We incorporate this channel in a new …

This paper investigates the connection between resource abundance and innovation, as a transmission mechanism that can …, consumers trade off leisure versus consumption, and firms trade off innovation efforts versus manufacturing. For this model, we … indirectly by inducing a smaller proportion of the labor force to engage in innovation. …

low-quality producers to defend their monopoly position and prevent innovation and entry of high-quality competitors … politician secures re-election by setting high bureaucratic costs and firms invest in network blocking innovation and entry …