Cournot competition among multiproduct firms:specialization through licensing
In a duopoly where each firm produces substitute goods, we show that under process innovation, specialization is the equilibrium attained with cross-licensing. Each firm produces only the good for which it has an advantage. Patent pool extension confirms the results.
|Date of creation:||Dec 2006|
|Date of revision:|
|Publication status:||Published in International Journal of Business and Economics, 5(3), 2006, pp. 201-210.|
|Contact details of provider:|| Web page: http://www.unicatt.it/Istituti/TeoriaEconomica|
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Chaim Fershtman & Morton I. Kamien, 1990.
"Cross Licensing of Complementary Technologies,"
866, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Morton I. Kamien & Yair Tauman, 1984.
"Fees Versus Royalties and the Private Value of a Patent,"
583, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Lin, Ping, 1996. "Fixed-Fee Licensing of Innovations and Collusion," Journal of Industrial Economics, Wiley Blackwell, vol. 44(4), pages 443-49, December.
- Shapiro, Carl, 1985. "Patent Licensing and R&D Rivalry," American Economic Review, American Economic Association, vol. 75(2), pages 25-30, May.
- Kenneth Arrow, 1962. "Economic Welfare and the Allocation of Resources for Invention," NBER Chapters, in: The Rate and Direction of Inventive Activity: Economic and Social Factors, pages 609-626 National Bureau of Economic Research, Inc.
- Mukesh Eswaran, 1994. "Cross-Licensing of Competing Patents as a Facilitating Device," Canadian Journal of Economics, Canadian Economics Association, vol. 27(3), pages 689-708, August.
- Nancy T. Gallini, 2002. "The Economics of Patents: Lessons from Recent U.S. Patent Reform," Journal of Economic Perspectives, American Economic Association, vol. 16(2), pages 131-154, Spring.
When requesting a correction, please mention this item's handle: RePEc:ctc:serie6:itemq0542. 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: (Gianluca Femminis)
If references are entirely missing, you can add them using this form.