productive and active VC industry boosts innovation driven growth. …The paper proposes a simple equilibrium model of venture capital, entrepreneurship and innovation. Venture capitalists …

for firm entry, competitiveness, and market power. I calibrate a Schumpeterian model of endogenous growth with … distribution and a measure of firm markup are endogenously determined on a balanced growth path. I find that a spread in the wealth …

In recent decades, economic growth in countries around the world has become increasingly dependent on the dynamism of …

levels of innovation. The paper also shows that the optimal incentive contract for innovative employees has an option …

innovation as well as the project´s feasibility. Our analysis of 900 nascent entrepreneurs finds that patents and prototypes … increase the likelihood of obtaining equity finance. Thus, if signals are credible, innovation positively impacts external … that the relation between finance and innovation depends on the stage of a start-up lifecycle. …

innovation as well as the project's feasibility. Our analysis of 900 nascent entrepreneurs finds that patents and prototypes … increase the likelihood of obtaining equity finance. Thus, if signals are credible, innovation positively impacts external … that the relation between finance and innovation depends on the stage of a start-up lifecycle. …

and bank loans in the early financing of new firms and the relationship between financing choice and subsequent innovation … mix I use a two-stage analysis to probe the relationship between financing and innovation. In a novel strategy, I exploit … the role of entrepreneurial optimism to discern the relationship between debt financing and innovation outcomes …