innovation distinguishing between “dirty” (internal combustion engine) and “clean” (e.g. electric and hybrid) patents across 80 … tax-inclusive fuel prices. Furthermore, there is path dependence in the type of innovation both from aggregate spillovers … and from the firm's own innovation history. Using our model we simulate the increases in carbon taxes needed to allow …

margin innovation decision (i.e. whether to conduct innovation) from the intensive margin decision (i.e. how much to innovate … innovation towards REN and away from FF technologies. Yet, we find that these factors have a larger impact on closing the … technology gap through the entry (and exit) of small specialized firms, rather than through large mixed firms' innovation. An …