Joint Product Development Between Domestic Firms: Some Policy Issues
We examine some policy issues pertaining to joint product development between domestic firms. We show that under a joint venture the probability of success is lower compared to that under competitive R&D. Moreover, the social surplus may also be lower under cooperative product development. These results seriously question the wisdom of providing special treatment to technology oriented joint ventures.
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Volume (Year): 32 (1997)
Issue (Month): 2 (July)
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