Innovation, Technological Opportunity, and Market Structure
This paper is an empirical analysis of the familiar Shumpeterian hypothesis that market structure affects innovation. Using panel data on major innovations in the United Kingdom, 1970-79, and data on a range of measures of competitive rivalry, the model corrects for technological opportunity using fixed effects and measures both the direct effect of rivalry on innovation as well as the indirect effect that occurs because rivalry affects postinnovation returns. The results suggest that rivalry increases innovativeness notwithstanding a mild offsetting effect that arises because rivalry dampens postinnovation returns. Copyright 1990 by Royal Economic Society.
Volume (Year): 42 (1990)
Issue (Month): 3 (July)
|Contact details of provider:|| Postal: |
Fax: 01865 267 985
Web page: http://oep.oupjournals.org/
|Order Information:||Web: http://www.oup.co.uk/journals|
When requesting a correction, please mention this item's handle: RePEc:oup:oxecpp:v:42:y:1990:i:3:p:586-602. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Oxford University Press)or (Christopher F. Baum)
If references are entirely missing, you can add them using this form.