The importance of innovation for the economic performance of industrialized countries has been largely stressed … innovation, is the key parameter in determining sustained growth in a model with endogenous technological change. This paper … takles the extremely important task of identifying and estimating a production function of innovation for European regions …

of R&D. Our work analyzes knowledge diffusion and knowledge externalities in generating innovation and in determining … productivity of R&D resources in generating innovation (patenting) and productivity (TFP). While we find that knowledge diffusion …

demand and of the innovation function, and with the extent of spillover effects. In terms of consumer surplus standard, the …

promotion. In this paper, we assess one popular justification for feed-in tariffs, i.e., induced innovation as a positive … spillover externality. Based on regressions with a time-technology fixed effect negative binomial model, we find that innovation …