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Innovative Output, Infra-Industry Spilloves, and R&D Cooperation: Theory and Evidence

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  • L. Lambertini
  • F. Lotti
  • E. Santarelli

Abstract

We analyse both the theoretical and empirical side of the issue of R&D spillover. Each firm`s R&D costs are increasing in the amount of the information transmitted to the other firms , and we account for the possibility that the firms control spillovers. We consider both Cournot-Nash and Cornot-Stackelberg behavior. The empirical analyst suggests that (i) firms` control on spillovers is relatively low; (ii) the cost-saving effect associated to joint ventures or R&D cartels is confermed for industries where firms rely mainly upon own R&D as a source of innovation; (iii) R&D cooperation may increase information sharing, thereby enhancing spillovers.

Suggested Citation

  • L. Lambertini & F. Lotti & E. Santarelli, 2000. "Innovative Output, Infra-Industry Spilloves, and R&D Cooperation: Theory and Evidence," Working Papers 371, Dipartimento Scienze Economiche, Universita' di Bologna.
    • Handle: RePEc:bol:bodewp:371
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