Skip Navigation


ICC Advance Access originally published online on July 5, 2008
Industrial and Corporate Change 2008 17(4):779-811; doi:10.1093/icc/dtn024
This Article
Right arrow Full Text
Right arrow Full Text (PDF)
Right arrow All Versions of this Article:
17/4/779    most recent
dtn024v1
Right arrow Alert me when this article is cited
Right arrow Alert me if a correction is posted
Services
Right arrow Email this article to a friend
Right arrow Similar articles in this journal
Right arrow Alert me to new issues of the journal
Right arrow Add to My Personal Archive
Right arrow Download to citation manager
Right arrowRequest Permissions
Google Scholar
Right arrow Articles by Mazzucato, M.
Right arrow Articles by Tancioni, M.
Social Bookmarking
Add to CiteULike   Add to Connotea   Add to Del.icio.us  
What's this?

© The Author 2008. Published by Oxford University Press on behalf of Associazione ICC. All rights reserved.

This article appears in the following Industrial and Corporate Change issue: Special Issue: Schumpeterian Themes on Industrial Evolution, Structural Change and their Microfoundations [View the issue table of contents]

Innovation and idiosyncratic risk: an industry- and firm-level analysis

Mariana Mazzucato and Massimiliano Tancioni

Correspondence: Mariana Mazzucato, Department of Economics, Open University, Walton Hall, Milton Keynes, MK7 6AA, United Kingdom. e-mail: m.mazzucato{at}open.ac.uk

Correspondence: Massimiliano Tancioni, Department of Public Economics, Sapienza University of Rome, Italy. e-mail: massimilano.tancioni{at}uniroma1.it

Recent studies find that idiosyncratic risk (IR)—the degree to which firm-specific returns are more volatile than aggregate market returns—has increased since the 1960s and attribute this to economy-wide factors such as the role of the IT revolution. Yet no innovation data is used in these studies. To gain further insights into the relationship between technology and IR, our aricle studies whether firms and industries that are more R&D intensive are in fact characterized by higher IR due to how innovation affects the uncertainty of expected future profits. While the industry-level results prove inconclusive, a clear relationship is found between firm-level R&D intensity and firm-level volatility of returns.


Add to CiteULike CiteULike   Add to Connotea Connotea   Add to Del.icio.us Del.icio.us    What's this?




Disclaimer:
Please note that abstracts for content published before 1996 were created through digital scanning and may therefore not exactly replicate the text of the original print issues. All efforts have been made to ensure accuracy, but the Publisher will not be held responsible for any remaining inaccuracies. If you require any further clarification, please contact our Customer Services Department.