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Defensive Publications in an R&D Race

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  • Talia Bar

Abstract

"This paper considers a multistage dynamic R&D race in which the competitors strategically publish research findings. Publications change the prior art, thus affecting patentability. Firms publish when they are behind in the race and their rival is close to winning it. Publication sets back both competitors and gives the follower a chance to catch up. Publications prolong the race. Firms are more likely to publish the more patient they are, and the higher their probability of success. Asymmetry between the firms generates additional incentives to publish such as protecting profits from a previous patent and increasing a strong firm's probability of winning. When firms face a joint decision on publications and the intensity of research, publications substitute investment." Copyright 2006, The Author(s) Journal Compilation (c) 2006 Blackwell Publishing.

Suggested Citation

  • Talia Bar, 2006. "Defensive Publications in an R&D Race," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 15(1), pages 229-254, March.
  • Handle: RePEc:bla:jemstr:v:15:y:2006:i:1:p:229-254
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    Cited by:

    1. Carlos J Ponce, 2007. "More Secrecy...More Knowledge Disclosure? On Disclosure Outside of Patents," Levine's Working Paper Archive 122247000000001600, David K. Levine.
    2. Giacomo A. M. Ponzetto, 2008. "Intellectual property rights and efficient firm organization," Economics Working Papers 1254, Department of Economics and Business, Universitat Pompeu Fabra, revised May 2014.
    3. Nisvan Erkal & Deborah Minehart, 2013. "Optimal Sharing Strategies in Dynamic," Department of Economics - Working Papers Series 1174, The University of Melbourne.
    4. Gans, Joshua S. & Murray, Fiona E. & Stern, Scott, 2017. "Contracting over the disclosure of scientific knowledge: Intellectual property and academic publication," Research Policy, Elsevier, vol. 46(4), pages 820-835.
    5. Rockett, Katharine, 2010. "Property Rights and Invention," Handbook of the Economics of Innovation, Elsevier.
    6. Ajay Bhaskarabhatla & Enrico Pennings, 2012. "Defensive Disclosure under Antitrust Enforcement," Tinbergen Institute Discussion Papers 12-010/2, Tinbergen Institute.
    7. Bronwyn Hall & Christian Helmers & Mark Rogers & Vania Sena, 2014. "The Choice between Formal and Informal Intellectual Property: A Review," Journal of Economic Literature, American Economic Association, vol. 52(2), pages 375-423, June.
    8. Ponce, Carlos J., 2007. "Knowledge disclosure as intellectual property rights," UC3M Working papers. Economics we077140, Universidad Carlos III de Madrid. Departamento de Economía.

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