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Cooperation in the Classroom: Experimenting with R&D Cooperatives

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  • Michelle S. Goeree
  • Jeroen Hinloopen

Abstract

The authors describe a classroom experiment that illustrates the research and development investment incentives facing firms when technological spillovers are present. The game involves two stages in which student "sellers" first make investment decisions and then production decisions. The classroom game can be used to motivate discussions of research joint ventures, the free-rider problem, collusion, and antitrust policy regarding research and development.

Suggested Citation

  • Michelle S. Goeree & Jeroen Hinloopen, 2008. "Cooperation in the Classroom: Experimenting with R&D Cooperatives," The Journal of Economic Education, Taylor & Francis Journals, vol. 39(4), pages 357-373, September.
  • Handle: RePEc:taf:jeduce:v:39:y:2008:i:4:p:357-373
    DOI: 10.3200/JECE.39.4.357-373
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    Cited by:

    1. Don J. Webber & Andrew Mearman, 2012. "Students’ perceptions of economics: identifying demand for further study," Applied Economics, Taylor & Francis Journals, vol. 44(9), pages 1121-1132, March.

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    More about this item

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • L41 - Industrial Organization - - Antitrust Issues and Policies - - - Monopolization; Horizontal Anticompetitive Practices

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