Spillovers in product and process innovation: evidence from manufacturing firms

This paper proposes a new empirical approach to assess the impact of knowledge spillovers on firms' productivity and demand. I consider a model where process innovations spillovers to other firms raise firms relative efficiency and technological diffusion of product innovations enhances firms' demand. By modelling knowledge capital as a function of own investment in R\ and D and spillovers, I can compare the impact of these two complementary sources of knowledge on both the supply and the demand side. The results obtained confirm the findings already highlighted by previous empirical studies that technological externalities affect significantly firms' productivity growth. The new result obtained is that technological diffusion of product innovations is larger than the one deriving from process innovations, both in magnitude and pervasiveness

Quantum mechanics of a spin-orbit coupled electron constrained to a space curve

We derive the effective one-dimensional Schrodinger-Pauli equation for electrons constrained to move on a space curve. The electrons are confined using a double thin-wall quantization procedure with adiabatic separation of fast and slow quantum degrees of freedom. This procedure is capable of yielding a correct Hermitian one-dimensional Schrodinger-Pauli operator. We find that the torsion of the space curve generates an additional quantum geometric potential, adding to the well-known curvature-induced one. Finally, we derive an analytic form of the one-dimensional Hamiltonian for spin-orbit coupled electrons in a nanoscale helical wire.Comment: 5 pages, no figure

Pending issues in the review of the European market abuse rules. ECMI Policy Brief No. 19, February 2012

The legislative package on market abuse proposed in 2011 comprises two documents: a draft regulation, which will largely replace the existing market abuse directive (MAD) and the level 2 measures; and a new directive dealing with criminal sanctions. Market abuse rules are needed to ensure market integrity and investor confidence, to allow companies to raise capital and contribute to economic growth, thereby increasing employment. In this ECMI Policy Brief Carmine di Noia argues that rules on market abuse should be technically well-designed, proportionate and crystal-clear, but also subject to more efficient supervision than before

Mergers and innovation: the case of the pharmaceutical industry

This paper takes a new look at the effects of mergers on innovation by analysing the relationship between ex-ante technological (and product) relatedness of acquirers and targets and post-merger performances. The analysis is conducted using data on consolidations in the pharmaceutical industry for the period 1988-2004. Empirical results show that merger deals are more likely to be signed between firms with related technologies and drug portfolio. I .find that merged companies have on average, worst performances than the group of non-merging firms and that, contrary to what may be the common wisdom, higher levels of technological relatedness are associated with poorer performances. Finally, consolidations between large pharmaceutical companies seem to have a detrimental impact on the incentives of competitors to undertake research in those therapeutic areas where both acquirer and target are active players.

Spillovers in product and process innovation: evidence from manufacturing firms.

This paper proposes a new empirical approach to assess the impact of knowledge spillovers on firms' productivity and demand. I consider a model where process innovations spillovers to other firms raise firms relative efficiency and technological diffusion of product innovations enhances firms' demand. By modelling knowledge capital as a function of own investment in R\ and D and spillovers, I can compare the impact of these two complementary sources of knowledge on both the supply and the demand side. The results obtained confirm the findings already highlighted by previous empirical studies that technological externalities affect significantly firms' productivity growth. The new result obtained is that technological diffusion of product innovations is larger than the one deriving from process innovations, both in magnitude and pervasiveness.

SPILLOVERS IN PRODUCT AND PROCESS INNOVATION: EVIDENCE FROM MANUFACTURING FIRMS

This paper proposes a new empirical approach to assess the impact of knowledge spillovers on firms' productivity and demand. I consider a model where process innovations spillovers to other firms raise firms relative efficiency and technological diffusion of product innovations enhances firms' demand. By modelling knowledge capital as a function of own investment in R\&D and spillovers, I can compare the impact of these two complementary sources of knowledge on both the supply and the demand side. The results obtained confirm the findings already highlighted by previous empirical studies that technological externalities affect significantly firms' productivity growth. The new result obtained is that technological diffusion of product innovations is larger than the one deriving from process innovations, both in magnitude and pervasiveness.

Accountability in Government and Regulatory Policies: Theory and Evidence

This paper analyzes the political economy of regulatory and judicial appointment rules. I study a model of price-setting by a political principal faced with a firm with unknown costs, and endowed with an information-gathering technology whose efficiency rises with the effort exerted by two accountable supervisors (a regulator and a judge). This set-up captures the institutions of several international markets. The model predicts that reforms toward election rather than appointment of regulators are more likely the less efficient is the information-gathering technology, the less stringent are the investment concerns of society, the stronger are regulators’ revolving-door motivations, and the closer is political competition. These predictions are consistent with US electric power market data. Moreover, in accordance with the model, electricity rates are lower and respond less to shock in input costs in states that elect their regulators or their High Court judges.Election, Agency, Judges, Regulation, Electricity

Assessing the effectos of measurement errors on the estimation of the production function.

This article explores the reasons why GMM estimators of production function parameters are generally found to produce unsatisfactory results. I attribute this finding to the inaccurate construction of the variables used in production function analysis. In particular, I suggest that the problem lies in the use of common price deflators as well as in a capital variable that does not reflect the true flow of capital services because of short-run equilibrium effects. I show that the practice of using industry-wide deflators leads to lower scale estimates, mainly due to a relevant downward bias in the labour coefficient. At the same time, it introduces a large upward bias in estimating the elasticity of output with respect to technological innovation. Moreover, a significant improvement in the estimates of capital coefficients is obtained if the information on the degree of capacity utilization is adequately exploited.

Thermal conductivity and stability of commercial MgB2_2 conductors

This paper presents a study of the thermal transport properties of MgB$_2$ tapes differing in architecture, stabilization and constituent materials. The temperature and field dependence of thermal conductivity, $\kappa(T,B)$, was investigated both along the conductor and in the direction perpendicular to the tape. These data provide fundamental input parameters to describe the 3D heat diffusion process in a winding. Thermal transport properties - even in field - are typically deduced using semi-empirical formulas based on the residual resistivity ratio of the stabilizer measured in absence of magnetic field. The accuracy of these procedures was evaluated comparing the calculated $\kappa$ values with the measured ones. Based on the experimental thermal conduction properties $\kappa(T,B)$ and critical current surface $J_C(T,B)$ we determined the dependence of minimum quench energy and normal zone propagation velocity on the operating parameters of the conductor. The correlation between thermal properties and tape layout allowed us to provide information on how to optimize the thermal stability of MgB$_2$ conductors.Comment: Accepted for publication in Superconductor Science and Technolog