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We estimate the long-term effect of public R&D on growth in manufacturing by analyzing new data from the Cold War era Space Race. We develop a novel empirical strategy that leverages US-Soviet rivalry in space technology to isolate windfall R&D spending. Our results demonstrate that public R&D...
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R&D subsidies on the knowledge-sourcing process increase firms’ innovation outcomes, thus making this policy … intervention effective in promoting innovation. By using panel data from Spanish manufacturing firms, this article presents … Spain also favor more firm innovation, measured by patent applications and new product launches. It is also documented that …
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