Political activism positively affects firm innovation. Firms that support more politicians, politicians on … innovation. The results are consistent with the hypothesis that political activism is valuable because it helps reduce political … uncertainty, which, in turn, fosters firm innovation. Also consistent with this hypothesis, we show that politically active firms …

content of government procurement in innovation. We theoretically show that a shift in the composition of public purchases … toward high-tech products translates into higher economy-wide returns to innovation, leading to an increase in the aggregate …