This study explores the importance of tacit knowledge transfer for international technology di¤usion by examining ethnic scienti…c communities in the US and their ties to their home countries. US ethnic research communities are quanti…ed by applying an ethnic-name database to individual patent records. International patent citations con…rm knowledge di¤uses through ethnic networks, and manufact...

In this paper we examine to what extent market conditions facilitating start-up formation affect technical change and firms’ profits. We consider a model in which R&D efforts of an incumbent firm generate partly tacit technological know-how embodied in a key R&D employee, who might use it to form a start-up. The availability of complementary assets influences whether new firms are created and d...

We use cluster analysis to describe the regional linkages that arise through funding of research contract networks in the EU. We nd ve signi cantly di erent kinds of networks, that we label as follows: 1) Technological development, 2) Basic research, 3) Quasi-elite, 4) Elite and 5) Southern. These networks are described in terms of three basic dimensions: quality, type of partners, and size com...

We investigate whether foreign institutional ownership impacts corporate innovation. Using firm-level data from 30 countries in 2001-2010, we find that higher foreign institutional ownership is associated with more investment in R&D and patents. Using the exogenous increase in foreign institutional holdings that follows a firm’s addition to the Morgan Stanley Capital International World Index, ...

Article history: Received 1 October 2013 Received in revised form 1 October 2014 Accepted 5 November 2014 Available online 4 February 2015 This paper investigates the effects of software intellectual property rights (IPRs) on the performance of software firms. For this, technical efficiency scores for Korean software firms are examined, and for an empirical analysis, data envelopment analysis (...

We analyze the effect of patenting on R&D with a model linking a firm’s R&D effort with its decision to patent, recognizing that R&D and patenting affect one another and are both driven by many of the same factors. Using survey data for the U.S. manufacturing sector, we estimate the increment to the value of an innovation realized by patenting it, and then analyze the effect on R&D of changing ...

In the EU, most large firms use e-business applications, such as enterprise resource planning and online procurement. Based on e-business watch data for EU-4 (Germany, France, Italy and the United Kingdom) we find that the actual use of enterprise resource planning and online procurement is positively correlated with labour productivity growth. Furthermore, we find that certain e-business appli...

We analyze the differential growth effects of basic research, applied research, and embodied human capital accumulation in an R&D-based growth model with endogenous fertility and endogenous education. In line with the empirical evidence, our model allows for i) a negative association between long-run economic growth and population growth, ii) a positive association between long-run economic gro...

This paper investigates the relevance of government purchasing behavior for innovationbased economic growth. We construct a parsimonious Schumpeterian growth model in which demand from the public sphere can effectively alter the economy’s rate of technological change. We incorporate results of various empirical studies arguing that public sector demand acts as incentive for private innovation a...