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Open Source Software: Private Provision of a Public Good

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Author Info
Justin Pappas Johnson
Abstract

A simple model of open source software (as typified by the GNU-Linux operating system) is presented. Individual user-programmers decide whether to invest their own effort to develop a software enhancement that will become a public good if so developed. The effect of changing the population size of user-programmers is considered; finite and asymptotic results are given. Welfare results are presented. It is shown that whether development will increase when applications have a modular structure depends on whether the developer base exceeds a critical size. Potential explanations of several stylized facts are given, including why certain useful programs don't get written. Copyright (c) 2002 Massachusetts Institute of Technology.

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Article provided by Blackwell Publishing in its journal Journal of Economics & Management Strategy.

Volume (Year): 11 (2002)
Issue (Month): 4 (December)
Pages: 637-662
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Handle: RePEc:bla:jemstr:v:11:y:2002:i:4:p:637-662

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  1. Alexandre Gaudeul, 2004. "Open Source Software Development Patterns and License Terms," Industrial Organization 0409008, EconWPA. [Downloadable!]
  2. Nicholas Economides & Evangelos Katsamakas, 2004. "Two-sided competition of proprietary vs. open source technology platforms and the implications for the software industry," Working Papers 04-22, NET Institute, revised Aug 2004. [Downloadable!]
    Other versions:
  3. Alex Gaudeul, 2005. "Public provision of a private good: What is the point of the BSD license?," Industrial Organization 0511002, EconWPA. [Downloadable!]
  4. Nicholas Economides & Evangelos Katsamakas, 2005. "Linux vs. Windows: A comparison of application and platform innovation incentives for open source and proprietary software platforms+," Working Papers 05-03, NET Institute, revised Sep 2005. [Downloadable!]
    Other versions:
  5. Casadesus-Masanell, Ramon & Ghemawat, Pankaj, 2003. "Dynamic mixed duopoly: A model motivated by Linux vs. Windows," IESE Research Papers D/519, IESE Business School. [Downloadable!]
  6. Thierry Warin & Jean-Philippe Bonardi, 2007. "Open Source Software Development, Innovation, and Coordination Costs," Middlebury College Working Paper Series 0701, Middlebury College, Department of Economics. [Downloadable!]
  7. Richard Schmidtke, 2006. "Private Provision of a Complementary Public Good," CESifo Working Paper Series CESifo Working Paper No. , CESifo GmbH. [Downloadable!]
  8. Robert M. Sauer, 2007. "Why Develop Open Source Software? The Role of Non-Pecuniary Benefits, Monetary Rewards and Open Source Licence Type," IZA Discussion Papers 3197, Institute for the Study of Labor (IZA). [Downloadable!]
  9. David P. Myatt & Chris Wallace, 2002. "Equilibrium Selection and Public Good Provision," Economics Series Working Papers 103, University of Oxford, Department of Economics. [Downloadable!]
  10. Gilles, R.P. & Lazarova, E.A. & Ruys, P.H.M., 2008. "Stable Economic Cooperation: A Relational Approach," Discussion Paper 2008-25, Tilburg University, Center for Economic Research. [Downloadable!]
  11. Schmidtke, Richard, 2006. "Private Provision of a Complementary Public Good," Discussion Papers in Economics 964, University of Munich, Department of Economics. [Downloadable!]
  12. Bitzer, Jürgen & Schrettl, Wolfram & Schröder, Philipp J.H., 2006. "Intrinsic Motivation versus Signaling in Open Source Software Development," Working Papers 06-7, University of Aarhus, Aarhus School of Business, Department of Economics. [Downloadable!]
  13. Stephane Verani, 2006. "Open Source Development in a Differentiated Duopoly," Economics Discussion / Working Papers 06-05, The University of Western Australia, Department of Economics. [Downloadable!]
  14. Richard Schmidtke, 2006. "Private Provision of a Complementary Public Good," Discussion Papers 134, SFB/TR 15 Governance and the Efficiency of Economic Systems, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich. [Downloadable!]
  15. Joerg Gutsche, 2005. "The Evolution of Open Source Communities," Topics in Economic Analysis & Policy, Berkeley Electronic Press, vol. 5(1), pages 1359-1359. [Downloadable!] (restricted)
  16. Evangelos Katsamakas & Mingdi Xin, 2005. "An economic analysis of enterprise adoption of open source software," Working Papers 05-29, NET Institute, revised Oct 2005. [Downloadable!]
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