Abstract

The paper provides a selected survey of the literature concerned with the relationship between firm size and technological change. The analysis moves from Marshall and Schumpeter's reflections on the above issue and their arguments are re-appraised in the light of some recent contributions, most of which empirical. The conclusion that arises form the survey is that a specific size of firm which, always and in any case, fosters technological change does not exist. Particularly, in the introduction of radical innovations small and large firms play different roles (according to the prevailing technological regime and the rate of technological change) which, in the medium-long run, complement each other.