A Three-Period Analysis of R&D Spillovers in the Presence of an Industry Life Cycle Pattern
This paper introduces the time dimension into the precompetitive R&D model, where both demand and spillovers vary over time. The effect of cooperation on R&D depends on a weighted function of spillovers, with the weights being a function of demand levels. The bulk of the incentives for innovation come from the growth phase of the industry.
Volume (Year): 8 (2009)
Issue (Month): 1 (April)
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