Scientific knowledge is believed to be the wellspring of innovation. Historically, firms have also invested in research … to fuel innovation and growth. In this paper, we document a shift away from scientific research by large corporations … innovation. Large firms appear to value the golden eggs of science (as reflected in patents) but not the golden goose itself (the …

This chapter reviews academic research on the connections between agglomeration and innovation. We first describe the … conceptual distinctions between invention and innovation. We then describe how these factors are frequently measured in the data …, industrial diversity) that theoretical and empirical work link to innovation, and we discuss factors that help sustain these …

We develop a model of induced innovation where research effort is a function of the death rate, and thus the potential … innovation based on differences in disease prevalence across population subgroups (i.e. race). Our model yields three empirical … population as a whole, induced innovation leads to growth in mortality disparities between minority and majority groups. Using …

We investigate rewards to R&D in a model where substitute ideas for innovation arrive to random recipients at random …

-by-step innovation. Innovations result from costly R&D investments and move technology up one step. Competition is inversely measured by …-and-neck. All these results are consistent with the predictions of step-by-step innovation models …

Innovation is important for firm performance and broader economic growth. But breakthrough innovations necessarily … effect on the rate of breakthrough innovation and the profitability of firms …