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R&D Networks

In: Complexity and Geographical Economics

Author

Listed:
  • Gian Italo Bischi

    (University of Urbino “Carlo Bo”)

  • Fabio Lamantia

    (University of Calabria)

Abstract

The aim of this chapter is two-fold. It first provides a (non exhaustive) overview of the literature concerning oligopoly models where firms produce homogeneous goods and share R&D cost-reducing results through bilateral agreements and/or involuntary spillovers of knowledge. These models are expressed by the formalism of networks (i.e. theory of graphs) where firms represent nodes and agreements for R&D share represent arcs (or links). We describe several models and corresponding theoretical results, as well as some of their practical implications in industrial organization. The second part of the chapter describes a recent dynamic two-stage model of oligopolies with both R&D collaboration ties and spillover effects, where firms adaptively decide their R&D efforts myopically, through a boundedly rational process based on a local estimate of marginal profits. Moreover, a possible dynamic representation of knowledge accumulation with obsolescence is given.

Suggested Citation

  • Gian Italo Bischi & Fabio Lamantia, 2015. "R&D Networks," Dynamic Modeling and Econometrics in Economics and Finance, in: Pasquale Commendatore & Saime Kayam & Ingrid Kubin (ed.), Complexity and Geographical Economics, edition 127, pages 277-299, Springer.
    • Handle: RePEc:spr:dymchp:978-3-319-12805-4_11
    DOI: 10.1007/978-3-319-12805-4_11
    as

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