Noncooperative versus cooperative R&D with endogenous spillover rates
نویسندگان
چکیده
This paper deals with a general version of a two-stage model of R&D and product market competition. We provide a thorough generalization of previous results on the comparative performance of noncooperative and cooperative R&D, dispensing in particular with ex-post firm symmetry and linear demand assumptions. We also characterize the structure of profit-maximizing R&D cartels where firms competing in a product market jointly decide R&D expenditure, as well as internal spillover, levels. We establish the firms would essentially always prefer extremal spillovers, and within the context of a standard specification, derive conditions for the optimality of minimal spillover. JEL Classification Codes: C72, L13, O31
منابع مشابه
Cooperative and noncooperative R&D in experimental duopoly markets
We analyze the relation between technological spillovers and R&D cooperation in a duopoly experiment based on the well-known model of d’Aspremont and Jacquemin. For scenarios without and with full spillovers, two noncooperative treatments are run, one without and one with non-binding communication possibilities, and one cooperative treatment, with binding contract possibilities. We find that wi...
متن کاملDoes R & D Cooperation Facilitate Price Collusion ? an Experiment
In the paper the impact of R&D cooperation on prices in experimental duopoly markets is examined. As a theoretical benchmark for the experiment, a two-stage duopoly model with an R&D stage with technological spillovers and a pricing stage is used. For two scenarios of technological spillovers (no versus complete spillovers), a treatment where it is possible to credibly commit to an R&D contract...
متن کاملThe Impact of Market Structure on R&D Competition with Learning
We introduce a two-armed bandit model to study firms’ incentives in choosing cooperative vs. noncooperative research when facing different market structures. Unlike previous literature on research joint ventures that generally assumes the certainty of success in R&D (possibly at an unknown date), we analyze R&D competition when the viability of R&D projects are also unknown but firms can update...
متن کاملIncentives to Innovate with Complementary Inventions
The paper introduces a model in which complementary monopoly inventors follow quantity-setting strategies and and engage in bilateral negotiation with licensees. The main result of the analysis is that non-cooperative equilibrium with quantity-setting inventors generates prices that correspond to the cooperative outcome. This di¤ers from Cournots classic result that noncooperative competition ...
متن کاملThe Impact of Import and Export of Medium Technology Industries on Economic Growth of Iran
Technology spillover from trade channel is important. Absorbing foreign technology by the channel of importation and using the latent technology in those products create export development, increase the quality and quantity of manufactured goods, and modify management, technology improvements and production of goods with high added value; this might favorise optimal allocation of resources. Imp...
متن کاملذخیره در منابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
برای دانلود متن کامل این مقاله و بیش از 32 میلیون مقاله دیگر ابتدا ثبت نام کنید
ثبت ناماگر عضو سایت هستید لطفا وارد حساب کاربری خود شوید
ورودعنوان ژورنال:
- Games and Economic Behavior
دوره 42 شماره
صفحات -
تاریخ انتشار 2003