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WEDC approved the loan in 2011 even though the recipient firm was dragged into court for failure to pay its bills in 2010.
How has the manufacturing and technological capacity of the recipient firm affected the development of the transfer arrangements?
Significantly, there must be intent to pass on technological information from a supplier to an unrelated recipient firm.
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Knowledge spillover occurs when recipient firms combine the knowledge of an originating firm with other knowledge.
When recipient firms combine the originating firm's knowledge with knowledge that is unfamiliar to the originating firm, the recipient firms potentially provide insight to the originating firm on the viability of exploring such knowledge.
By mimicking its recipient firms, the originating firm reduces the challenge and uncertainty of exploring unfamiliar knowledge domains.
In contrast, firms in high-growth market environments are more likely to look beyond the activities of recipient firms when exploring new technological domains and rely less on mimicking their recipient firms.
If western governments provide loans, these should be the sole responsibility of the recipient firms, not of their national government.
In addition, combining difference-in-differences with propensity score and exact (both simple and categorical) matching methods, we assess the effect of R&D subsidies between treated (subsidy recipients) and controls (subsidy non-recipients) as well as between differently treated (small, medium and large subsidy recipient) firms.
Making use of a specific grant-based policy design that explicitly distinguishes between research projects, development projects, and mixed R&D projects, this study estimates the direct and cross scheme effects on both research and development investments of recipient firms.
Some AIG employees have returned their bonuses, and some Democratic leaders said they may forgo the tax effort and turn to other measures already in the works to limit executive compensation at recipient firms.
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