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Intellectual Property as a Carrot for Innovators Using Game Theory to Show the Limits of the Argument

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Author Info
Dorothee Schmidt () (Max Planck Institute for Research on Collective Goods, Bonn)
Abstract

One possible solution to mitigate the negative influences of conflict which has been proposed in the literature is to subject the relevant parties to education. Education can take two forms: increasing an individual's human capital on the one hand, increasing her social capital on the other hand. Using a stylized model of a two-individual economy, we derive that increasing an individual's social capital will lead her to reduce her conflict effort, whereas increasing her human capital can induce her to increase her conflict effort. We then analyze which conditions need to be present to induce the individuals to invest into their social capital.

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File URL: http://www.coll.mpg.de/pdf_dat/2007_05online.pdf
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Publisher Info
Paper provided by Max Planck Institute for Research on Collective Goods in its series Working Paper Series of the Max Planck Institute for Research on Collective Goods with number 2007_5.

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Length: 24 pages
Date of creation: Mar 2007
Date of revision:
Handle: RePEc:mpg:wpaper:2007_5

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Related research
Keywords: Contests; conflict reduction; education; human capital; social capital; morality;

Find related papers by JEL classification:
D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Models of Political Processes: Rent-seeking, Elections, Legislatures, and Voting Behavior
D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances
I28 - Health, Education, and Welfare - - Education - - - Government Policy
K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
Z13 - Other Special Topics - - Cultural Economics - - - Social Norms and Social Capital; Social Networks Economic Anthropology

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This page was last updated on 2009-11-6.

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