Market Structure and Environmental Innovation

Market Structure and Environmental Innovation

This paper studies ...rms’ incentives to invest in environmental R&D under different market structures (Cournot and Bertrand) and environmental policy instruments (emission standards, taxes, tradeable permits and auctioned permits). Because of market strategic e¤ects, R&D incentives vary widely across market structures and instruments. For example, when ...rms’ products are strategic substitute...

Innovation, Imitation, and Market Structure

How do market structure and the characteristics of goods affect the incentives to create new goods (to innovate) and to copy them (to imitate).In this paper we consider an economy in which goods differ according to their production technology, which determines the market structure, and according to the fraction of R&D (think knowledge or information) that it takes to create them. After innovati...

Market structure and drug innovation.

An explosion of knowledge and a growing array of tools and technologies have transformed modern drug R&D, while its cost has risen by a sizable amount. At the same time, the unchecked increase in health care and prescription drug spending has spawned cost containment policies that are restricting the demand for drugs in all major markets. This Perspective explores the interplay between technolo...

Innovation, Licensing, and Market Structure in Agricultural Biotechnology

Over the past three decades, the agricultural biotechnology sector has been characterized by rapid innovation, market consolidation, and a more exhaustive definition of property rights. The industry attributes consistently identified by the literature and important to this analysis include: (i) endogenous sunk costs in the form of expenditures on R&D; (ii) seed and agricultural chemical technol...

Market Structure and Price Adjustment in the Iranian Tea Market