A strong innovation performance based on R&D, product development and the implementation of advanced production … offshoring on R&D and innovation activities of the firm in the home country. The analysis is based on a dataset of more than 3000 … manufacturing firms from seven European countries. We employ propensity score matching to compare R&D and innovation activities of …

Innovation, mark-ups and the degree of trade openness vary substantially across sectors. This paper builds a multi … autarky to free trade promotes innovation and productivity growth in those sectors which are initially less competitive …. However, when the initial tariff level is common across sectors, a homogeneous tariff reduction promotes innovation in those …