New firm set ups, especially in High Tech industries, can give important impulses for the technological development and the catch up process in the Neuen Bundes1aender. The paper at hand gives an overview about the formation behaviour considering the preconditions of the former German Democratic...

R&D expenditures of firms varies vastly between and within industries. In recent years a lot of theoretical and empirical studies attempted to explain the distribution of R&D expenditures. Four main factors repeatedly appeared in this literature: Firm size, market power, appropriability and...