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Cournot competition among multiproduct firms:specialization through licensing

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Author Info
Luigi Filippini () (DISCE, Università Cattolica)

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Abstract

In a duopoly where each firm produces substitute goods, we show that under process innovation, specialization is the equilibrium attained with cross-licensing. Each firm produces only the good for which it has an advantage. Patent pool extension confirms the results.

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File URL: http://www.unicatt.it/Istituti/TeoriaEconomica/Quaderni/Quaderno_42.pdf
File Format: application/pdf
File Function: First version, 2003
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Publisher Info
Paper provided by Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE) in its series DISCE - Quaderni dell'Istituto di Teoria Economica e Metodi Quantitativi with number itemq0542.

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Length: 10 pages
Date of creation: Dec 2006
Date of revision:
Publication status: Published in International Journal of Business and Economics, 5(3), 2006, pp. 201-210.
Handle: RePEc:ctc:serie6:itemq0542

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Web page: http://www.unicatt.it/Istituti/TeoriaEconomica
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Related research
Keywords: cross-licensing patent pool specialization process innovation

Find related papers by JEL classification:
D45 - Microeconomics - - Market Structure and Pricing - - - Rationing; Licensing
O31 - Economic Development, Technological Change, and Growth - - Technological Change - - - Innovation and Invention: Processes and Incentives

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Kamien, Morton I & Tauman, Yair, 1986. "Fees versus Royalties and the Private Value of a Patent," The Quarterly Journal of Economics, MIT Press, vol. 101(3), pages 471-91, August. [Downloadable!] (restricted)
  2. Fershtman, Chaim & Kamien, Morton I., 1992. "Cross licensing of complementary technologies," International Journal of Industrial Organization, Elsevier, vol. 10(3), pages 329-348, September. [Downloadable!] (restricted)
  3. Shapiro, Carl, 1985. "Patent Licensing and R&D Rivalry," American Economic Review, American Economic Association, vol. 75(2), pages 25-30, May. [Downloadable!] (restricted)
  4. Nancy T. Gallini, 2002. "The Economics of Patents: Lessons from Recent U.S. Patent Reform," Journal of Economic Perspectives, American Economic Association, vol. 16(2), pages 131-154, Spring. [Downloadable!] (restricted)
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This page was last updated on 2008-11-21.

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