This paper is an exercise in comparative institutional analysis, asking what kinds of arrangements most facilitate innovation. After identifying pervasive market failures in innovation, it explains why those associated with the Nordic model may be particularly conducive to innovation, and...

It concludes by constructing a simple model in which knowledge flows slowly across national borders but moves easily within borders. We show there is a leadership-followership equilibrium, in which some countries are leaders, others are followers. Contrary to Solow's analysis, there need not be...

Die Ungleichheit in der Welt nimmt zu: Immer weniger Menschen häufen immer gröe︢ren Reichtum an, während die Zahl der Armen wächst und die Mittelschicht vom Abstieg bedroht ist. Doch diese Entwicklung, so zeigt Nobelpreisträger Joseph Stiglitz in seinem neuen Bestseller, ist keine...