Innovation, competition, and industry structure

Competition and Vertical Structure of Industry: Evidence from Info-Communications

The purpose of this paper is threefold. Firstly, the paper provides a synthesis of the potentialities and limits of the dominant economic literature on vertical contractual relations which essentially focuses on the impact of vertical specialization and vertical integration on competition and customers’ welfare. Second, the paper characterizes the historical evolution of the different degrees o...

Competition and Industry Structure for International Rail Transportation ∗

This paper investigates the impacts of and incentives towards vertical integration or separation between an infrastructure manager and a network operator when downstream services may require the access to multiple networks. We show that returns-to-scale and the intensity of competition in the final markets are key to understanding the impact of vertical integration in this context. We also disc...

Technological Competition and the Structure of the Computer Industry

Competition and Innovation

Which kind of intellectual property regime is more favorable to innovation: one that enforces patents or one that does not? Economic theory is unable to answer this question, as valid arguments can be made both for and against patents; hence we must turn to empirical evidence. In this paper, we review empirical evidence gathered by other researchers and add new evidence of our own. We conclude ...

Competition and Innovation

The Department of Justice and the Federal Trade Commission have frequently raised innovation concerns as reasons to challenge mergers. This chapter surveys the economic theories of innovation incentives and considers how the theory may inform antitrust analysis for merger investigations and other conduct that involve innovation. Competition can promote innovation by reducing the value of failin...