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Beat 'em or Join 'em?: Export Subsidies Versus International Research Joint Ventures in Oligopolistic Markets Author info | Abstract | Publisher info | Download info | Related research | Statistics J Peter Neary; (University College Dublin)
Paul O'Sullivan
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This paper is concerned with comparing adversarial with co-operative industrial and trade policies in a dynamic oligopoly game in which a home and foreign firm compete in R&D and output and, because of spillovers, each firm benefits from the other's R&D. Because the government cannot commit to an export subsidy, such a policy may reduce welfare relative to free trade. However, except when spillovers are high, free trade may be inferior to strategic trade policy, even if firms are encouraged to engage in cooperative R&D.
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Paper provided by Department of Economics, Finance and Accounting, National University of Ireland - Maynooth in its series Economics, Finance and Accounting Department Working Paper Series with number
n700897.
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Length: 22 pages
Date of creation: 1997Date of revision:
Handle: RePEc:may:mayecw:n700897Contact details of provider: Postal: Maynooth, Co. Kildare Phone: 353-1-7083728 Fax: 353-1-7083934 Web page: http://www.may.ie/academic/economics/ More information through EDIRC
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Keywords: research and development R&D spillovers co-operative agreements research joint ventures (RJV's) strategic trade policy export subsidies commitment dynamic consistency Other versions of this item:
Article Paper Neary, J.P. & O'Sullivan, P., 1998.
"Beat'Em Or Join'Em? Export Subsidies Versus International Research Joint Ventures in Oligopolistic Markets ,"
Papers
98/10, College Dublin, Department of Political Economy-.
Neary, J Peter, 1998.
"Beat 'Em or Join 'Em?: Export Subsidies Versus International Research Joint Ventures in Oligopolistic Markets ,"
CEPR Discussion Papers
1916, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted) J.P Neary & P O'Sullivan, 1998.
"Beat 'Em or Join 'Em: Export Subsidies versus International Research Joint Ventures in Oligopolistic Markets ,"
CEP Discussion Papers
0408, Centre for Economic Performance, LSE.
[Downloadable!] Find related papers by JEL classification: F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations O32 - Economic Development, Technological Change, and Growth - - Technological Change - - - Management of Technological Innovation and R&D
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.:
Gene M. Grossman & Giovanni Maggi, 1997.
"Free Trade vs. Strategic Trade: A Peek into Pandora's Box ,"
NBER Working Papers
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Other versions:
Maggi, G. & Grossman, G., 1997.
"Free Trade vs Strategic Trade: A Peek into Pandora's Box ,"
Papers
190, Princeton, Woodrow Wilson School - Public and International Affairs.
Grossman, Gene & Maggi, Giovanni, 1998.
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Other versions: Leahy, Dermot & Neary, J Peter, 1998.
"Strategic Trade and Industrial Policy Towards Dynamic Oligopolies ,"
CEPR Discussion Papers
1968, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted)
Other versions:
Neary, J.P. & Leahy, D., 1998.
"Strategic Trade and Industrial Policy Towards Dynamic Oligopolies ,"
Papers
98/14, College Dublin, Department of Political Economy-.
J.P Neary & D Leahy, 1998.
"Strategic Trade and Industrial PolicyTowards Dynamic Oligopolies ,"
CEP Discussion Papers
0409, Centre for Economic Performance, LSE.
[Downloadable!] Neary, J Peter & Leahy, Dermot, 2000.
"Strategic Trade and Industrial Policy towards Dynamic Oligopolies ,"
Economic Journal ,
Royal Economic Society, vol. 110(463), pages 484-508, April.
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Muniagurria, Maria E & Singh, Nirvikar, 1997.
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Goldberg, Pinelopi Koujianou, 1995.
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International Economic Review ,
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Spencer, Barbara J & Brander, James A, 1983.
"International R & D Rivalry and Industrial Strategy ,"
Review of Economic Studies ,
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Other versions: Karp, Larry S. & Perloff, Jeffrey M., 1995.
"The failure of strategic industrial policies due to manipulation by firms ,"
International Review of Economics & Finance ,
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A. Michael Spence, 1977.
"Entry, Capacity, Investment and Oligopolistic Pricing ,"
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Neary, J. Peter, 1994.
"Cost asymmetries in international subsidy games: Should governments help winners or losers? ,"
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Economic Journal ,
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Other versions: Motta, Massimo, 1996.
"Research joint ventures in an international economy ,"
Ricerche Economiche ,
Elsevier, vol. 50(3), pages 293-315, September.
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Other versions: J.P Neary & D Leahy, 1995.
"Learning by Doing ,"
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Other versions: Maskin, Eric S & Newbery, David M, 1990.
"Disadvantageous Oil Tariffs and Dynamic Consistency ,"
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American Economic Association, vol. 80(1), pages 143-56, March.
Leahy, Dermot & Neary, J Peter, 1997.
"Public Policy towards R&D in Oligopolistic Industries ,"
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Other versions: James A. Brander & Barbara J. Spencer, 1983.
"Strategic Commitment with R&D: The Symmetric Case ,"
Bell Journal of Economics ,
The RAND Corporation, vol. 14(1), pages 225-235, Spring.
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references Cited by : (explanations , 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.)
Gerda Dewit & Dermot Leahy, 2001.
"Rivalry In Uncertain Export Markets: Commitment Versus Flexibility ,"
Economics, Finance and Accounting Department Working Paper Series
n1050201, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth.
[Downloadable!]
Other versions:
Dewit, Gerda & Leahy, Dermot, 2001.
"Rivalry in Uncertain Export Markets: Commitment versus Flexibility ,"
CEPR Discussion Papers
2771, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted) Dewit, Gerda & Leahy, Dermot, 2004.
"Rivalry in uncertain export markets: commitment versus flexibility ,"
Journal of International Economics ,
Elsevier, vol. 64(1), pages 195-209, October.
[Downloadable!] (restricted) J.P Neary & D Leahy, 1998.
"Strategic Trade and Industrial PolicyTowards Dynamic Oligopolies ,"
CEP Discussion Papers
0409, Centre for Economic Performance, LSE.
[Downloadable!]
Other versions:
Neary, J.P. & Leahy, D., 1998.
"Strategic Trade and Industrial Policy Towards Dynamic Oligopolies ,"
Papers
98/14, College Dublin, Department of Political Economy-.
Leahy, Dermot & Neary, J Peter, 1998.
"Strategic Trade and Industrial Policy Towards Dynamic Oligopolies ,"
CEPR Discussion Papers
1968, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted) Neary, J Peter & Leahy, Dermot, 2000.
"Strategic Trade and Industrial Policy towards Dynamic Oligopolies ,"
Economic Journal ,
Royal Economic Society, vol. 110(463), pages 484-508, April.
[Downloadable!] (restricted) Leahy, Dermot & Naghavi, Alireza, 2006.
"Intellectual Property Rights and Entry into a Foreign Market: FDI vs Joint Ventures ,"
CEPR Discussion Papers
5672, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted)
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