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This paper studies the cross-country patterns of risky innovation and growth through the lens of international trade. It uses a simple theoretical framework of risky quality upgrading by firms under varying levels of financial development to derive two predictions. First, the mean rate of...
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-side channel: capital, labor, and productivity, with the last estimated using the stochastic frontier approach. By controlling for …
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This paper presents firm-level estimates of revenue-based total factor productivity premiums of manufacturing firms … adopting digital technology in 82 developing economies over 2002–19. The paper estimates productivity using the control … function approach and assuming an endogenous revenue-based total factor productivity process, which is a function of multiple …
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as the impact of these activities on firm-level productivity. The evidence gathered suggests that countries in the South …-owned firms as the most innovative of the region. The evidence also suggests a positive impact of innovation on productivity …
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