IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this paper

Pre-emptive Search and R&D Clustering

Listed author(s):
  • James H. Cardon

    (Brigham Young University, Provo, Utah)

  • Dan Sasaki

    (Institute of Economics, University of Copenhagen)

While many preceding studies on R&D discuss the equilibrium amount and speed of the R&D investment, this paper focuses on its equilibrium direction. Under a broad class of parametric conditions, there is a pure-strategy equilibrium in which multiple firms "cluster", i.e. search for the same potential project even if [i] potential projects are ex ante homogeneous, [ii] firms have negative, not positive, externalities toward each other in that a potential project can be made into a profit-making patent by no more than one firm, and [iii] firms have simultaneous moves so that there is no informational spillover between them. Economic applications of this "clustering" equilibrium result are not confined to the R&D investment. Any situation where agents are racing in search of economic opportunities can be an example of this model.

To our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.

Paper provided by University of Copenhagen. Department of Economics in its series Discussion Papers with number 96-21.

in new window

Length: 18 pages
Date of creation: Dec 1996
Handle: RePEc:kud:kuiedp:9621
Contact details of provider: Postal:
Øster Farimagsgade 5, Building 26, DK-1353 Copenhagen K., Denmark

Phone: (+45) 35 32 30 10
Fax: +45 35 32 30 00
Web page:

More information through EDIRC

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:kud:kuiedp:9621. 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: (Thomas Hoffmann)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.