TY - BOOK ID - 84543122 TI - Firm Productivity, innovation and Financial Development AU - Verdier, Genevieve. AU - Dabla-Norris, Era. AU - Kersting, Erasmus. AU - International Monetary Fund. PY - 2010 SN - 1462323464 1452748039 1283567768 145198720X 9786613880215 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Finance: General KW - Industries: Information Technololgy KW - Production and Operations Management KW - Economic Development: Financial Markets KW - Saving and Capital Investment KW - Corporate Finance and Governance KW - Financial Markets and the Macroeconomy KW - Macroeconomics: Production KW - Technological Change: Choices and Consequences KW - Diffusion Processes KW - Production KW - Cost KW - Capital and Total Factor Productivity KW - Capacity KW - Macroeconomics KW - Finance KW - Information technology industries KW - Financial sector development KW - Emerging technologies KW - Productivity KW - Total factor productivity KW - Capacity utilization KW - Financial markets KW - Technology KW - Financial services industry KW - Industrial productivity KW - Industrial capacity KW - India KW - Industries KW - Industrial management. KW - Technological innovations. KW - Finance. UR - https://www.unicat.be/uniCat?func=search&query=sysid:84543122 AB - How do firm-specific actions-in particular, innovation-affect firm productivity? And what is the role of the financial sector in facilitating higher productivity? Using a rich firm-level dataset, we find that innovation is crucial for firm performance as it directly and measurably increases productivity. Moreover, its effects on productivity are mediated through the financial sector; firms reap the maximum benefits from innovation in countries with well-developed financial sectors. This effect is particularly important for firms in high-tech sectors, which typically have higher external financing needs. ER -