R&D Investments under Financing Constraints (with Kornelius Kraft), Industry and Innovation, 2024, forthcoming. [open access]

The Effect of Subsidies on R&D in the Financial Crisis—The Role of Financial Constraints of Firms and Banks (with Kornelius Kraft), Industrial and Corporate Change, 2023, forthcoming. [accepted version]

Is More Always Better? External Consultants and Firm Innovation in Emerging Markets, Applied Economics, 2023, forthcoming. [accepted version]

Navigating Uncertainty: Employee Participation Dynamics in Times of Crisis (with Alexander Lammers), LABOUR, 2024, 38(2), 230-255. [open access]

Bank Credit Supply and Firm Innovation Behavior in the Financial Crisis (with Kornelius Kraft), Journal of Banking and Finance, 2020, 121, 105961. [accepted version]

External Financing Constraints and Firm Innovation (with Kornelius Kraft), Journal of Industrial Economics, 2019, 67(1), 91-126.  https://doi.org/10.1111/joie.12197

The Impact of the Financial Crisis on Capital Investments in Innovative Firms (with Kornelius Kraft), Industrial and Corporate Change, 2019, 28(5), 1079-1099.

Econ, Patents & Competition in Pharma (with Maria Jose Schmidt-Kessen and Kalpana Tyagi), COMIPinDigiMarkts’ monthly newsletter, COM&IP Insights, 2023, no 2.

External Consultants and InnovationAcademy of Management Proceedings, 2020, 1, 13491. 

Is it a good idea to publish during your PhD? Yes, but ..., Nature Behavioural and Social Sciences Community Blog, October 2019.

Digital divide, Knowledge and InnovationsJournal of Information, Information Technology, and Organizations, Vol. 8, 2013, pp. 1-24. 

Reaching for the Society: The Commercializing Effects of NASA Technology Transfer (with Anja Rösner) 

How does technology transfer of government inventions affect follow-on innovation? Being aware of the importance of technology development and commercialization, the United States enacted a group of policies in the 1980s that aimed at promoting the commercializing of government-funded research by licensing. It, however, remains questionable whether patenting and licensing are appropriate tools to spur welfare-improving follow-on innovation. We exploit technology-related information from the NASA Technology Transfer Program that fosters the licensing of NASA technologies by third parties and combine it with United States patent data. We find that NASA technologies in the licensing portfolio show a similar follow-on innovation pattern as those that are not. Leveraging the information about the licensing status, we find that an exclusive licensing agreement facilitates subsequent technological developments. Consequently, our results imply that commercialization by licensing government inventions is an important policy tool to increase the benefits for society.

Patent Enforcement and Subsequent Innovation (Working paper version, revised version available upon request)

How does the enforcement of intellectual property rights affect subsequent innovation? I analyze this question by exploiting patent infringement litigation cases in the United States initiated by the patent holder to enforce her temporary monopoly right. The results imply that subsequent innovations increase after a case has been filed in court. While there is a strong increase during the litigation period, the relative effect size decreases in the years following the closure of the case. My findings indicate that signals about the value of the patent and reductions in asymmetric information are particular drivers of the rise in follow-on innovation. Although there is a general facilitating effect, subsequent innovations have a low degree of quality and follow the same research direction as the litigated patents.

Strategic Non-Disclosure in Patents (with Alexandra Zaby and Diana Heger )   (Working paper version, new version coming soon)

Patent law requires the full, clear, and concise disclosure of an invention in exchange for the protection of the intellectual property. This paper presents a theoretical analysis of the strategic motives to limit knowledge disclosure in patents and how this affects follow-on innovation. Using USPTO patent examination data we use Office actions associated with insufficient disclosure to investigate whether and how the modification of a patent specification in the course of examination impacts follow-on innovation. We find that inventors “game the system” using strategic non-disclosure as a means to reduce follow-on innovation.

Do Managerial Incentives Facilitate Anti-Competitive Behavior? Evidence from Collusion (with Anja Rösner)   (Available upon request)

We investigate the relationship between management incentives and collusion. This is particularly important as the manager acts on behalf of the owner and determines the firm strategy. Compensation schemes, intended to overcome the principle-agent problem between shareholders and managers, generally determine their managerial actions. While this is beneficial by aligning managers’ interests with those of the firm’s shareholders, the means to achieve this goal could be detrimental from a social welfare perspective. Our empirical analysis is based on a combination of firm, manager, and cartel data to identify managers' remuneration schemes and cartels within the United States. We show that a higher degree of managers' long-term incentives indeed facilitates and stabilizes collusion. Further analyzing the remuneration schemes of various management positions, we find that the impact is particularly pronounced for non-CEOs and CFOs. Additional results imply that firms run by managers with a higher share of equity compensation or more equity-based risk-taking incentives are more likely to behave anti-competitive.

Financial Constraints for R&D and Innovation: New Evidence from a Survey Experiment   (with Dirk Czarnitzki)    (Working paper version)

We utilize a new survey experiment to evaluate the existence and degree of financial constraints for R&D in the economy. The experiment does not only allow to deduct the presence of financial constraints, but also to evaluate their economic significance. Using data on German companies, we find that financial constraints for R&D exist but that their relevance might have been overestimated in the literature. Most R&D projects that have not been implemented because of financial constraints turn out to have low expected marginal rates of return. While this findings stands in some contrast to other studies, we also find several results that are in line with the literature: young firms are most constrained and the constraints occur at the intensive margin, i.e. our results do not suggest that non-innovative companies are deterred from innovation. Instead, highly innovative companies are restricted by the capital market.

The Impact of a New Workplace Technology on Employees (with Alexander Lammers)   (Available upon request)

We exploit the implementation of a new workplace technology as a source of variation in employee outcomes. Utilizing detailed worker-level data for Germany, we show that the strongest impacts of new technologies arise in the first year of its implementation for overtime, training and perceived productivity. These effects diminish after the introduction period. Finally, we show that changes in worker outcomes depend on the nature of the technology as well as occupational choices. Thus, we find that technologies are particularly affecting workers if their introduction is related to increases in workload and mental stress. In addition, workers in high-paying occupations are affected in all of the worker outcomes examined. Among employees in low- and mid-paying occupations, in contrast, there are only particularly strong impacts on overtime and training. The impact on worker outcomes therefore primarily occurs when the new technology shapes the work environment of the exposed worker.

The Divisional Games, the Case of Teva’s Blockbuster Drug, Copaxone: A Law and Economics Perspective (with Maria Jose Schmidt-Kessen and Kalpana Tyagi) 

This contribution looks at divisional patent filing strategies from an economics, patent law, and competition law perspective. It uses Copaxone as a case study. 

Selected work in progress

Delays with benefits? – The Effects of Administrative Delays on Innovation

Fiscal Transparency and the Social Benefits of Government Funded Research (preliminary version available upon request)

I investigate the effect of increasing transparency on the social benefits of research. (Among the best accepted papers in the 2022 AOM meeting program)

Who is a successful entrepreneur, and why? (with Anders Sørensen)

 Do successful entrepreneurs have certain personal characteristics, or do their firms open under certain conditions, that policy-makers will find useful when designing policies to encourage or support nascent entrepreneurs?

A study on patent terms and follow-on inventions (with Gáetan de Rassenfosse and Alexandra Zaby)  

Overconfidence and Collusion (with Catarina Marvão, Anja Rösner, and Giancarlo Spagnolo)