, the forces of innovation and diffusion combine to shape trade substitution patterns. Innovation makes a country … technological similarity and increases head-to-head competition. In the special case of an innovation-only model where countries do … observable trade flows and the dynamics of innovation and knowledge diffusion …

from China impact U.S. innovation through the markets for innovation and existing products. We identify shocks to … innovation competition using the geography of Chinese internet penetration and Chinese import data. Increases in the ability of …

, vertical linkages with foreign firms, and international trade on several types of innovation by domestic firms. Using … and innovation and show that the supply chain of multinational enterprises and international trade are also important … channels. There is no evidence for an inverted U relationship between innovation and foreign competition. The relationship …

. Specifically, import competition forces domestic innovators to chose between either quickening their pace of innovation or being …

This chapter reviews the empirical economics literature on the impact of trade liberalization on firms' innovation … levels. In emerging countries, trade liberalization appears to spur productivity and innovation. In developed countries …, export opportunities and access to imported intermediates tend to encourage innovation, but the evidence on import …