A firm’s export status may improve its capacity of introducing product innovations. We explore this idea using very rich firm-level data on Italian Manufacturing, and sector-province specific measures of firms’ distance from export markets and of their export market potential as instruments...

In recent years, Spain has received unprecedented immigration flows. Between 2001 and 2006 the fraction of the population born abroad more than doubled, increasing from 4.8% to 10.8%. For Spanish provinces with above-median inflows (relative to population), immigration increased the high school...