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The struggle to survive in the R&D sector: Implications for innovation and growth

  • Furukawa, Yuichi

By allowing for investment activities by research and development (R&D) firms to prevent product obsolescence, we show that if legal patent protection is too strong, a higher R&D subsidy rate delivers insufficient investments for survival in the R&D sector, depressing innovation and growth in the long run.

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File URL: http://www.sciencedirect.com/science/article/pii/S0165176513003194
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Article provided by Elsevier in its journal Economics Letters.

Volume (Year): 121 (2013)
Issue (Month): 1 ()
Pages: 26-29

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Handle: RePEc:eee:ecolet:v:121:y:2013:i:1:p:26-29
Contact details of provider: Web page: http://www.elsevier.com/locate/ecolet

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  27. Chu, Angus C. & Pan, Shiyuan & Sun, Minjuan, 2012. "When does elastic labor supply cause an inverted-U effect of patents on innovation?," Economics Letters, Elsevier, vol. 117(1), pages 211-213.
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