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Financing Innovation / William R. Kerr, Ramana Nanda.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Kerr, William R.
Contributor:
National Bureau of Economic Research.
Nanda, Ramana.
Series:
Working Paper Series (National Bureau of Economic Research) no. w20676.
NBER working paper series no. w20676
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2014.
Summary:
We review the recent literature on the financing of innovation, inclusive of large companies and new startups. This research strand has been very active over the past five years, generating important new findings, questioning some long-held beliefs, and creating its own puzzles. Our review outlines the growing body of work that documents a role for debt financing related to innovation. We highlight the new literature on learning and experimentation across multi-stage innovation projects and how this impacts optimal financing design. We further highlight the strong interaction between financing choices for innovation and changing external conditions, especially reduced experimentation costs.
Notes:
Print version record
November 2014.

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