Book excerpt: The emergence of new firm-level data, including the European Community Innovation Survey (CIS), has led to a surge of studies on innovation and firm behaviour. This book documents progress in four interrelated fields: · investigation of the use of new indicators of innovation output · investigation of determinants of innovative behaviour · the role of spillovers, the public knowledge infrastructure and research and development collaboration · The impact of innovation on firm performance Written by an international group of contributors, the studies are based on agriculture and the manufacturing and service industries in Europe and Canada and provide new insights into the driving forces behind innovation.