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Technology Sharing Cartels and Industrial Structure under a Rule of Thumb

Author

Listed:
  • Ahmad Naimzada

    () (Department of Economics, University of Milan-Bicocca)

  • Emanuela Randon

    () (Department of Economics, University of Milan-Bicocca)

Abstract

We analyse the effect of learning by doing on firm performances when profit maximization follows a rule of thumb. Three regimes are compared: the technology sharing cartels, the oligopoly with spillovers, the proprietary regime. We show the dynamic implications on the industrial structure when firm production plan is revisited period by period.

Suggested Citation

  • Ahmad Naimzada & Emanuela Randon, 2004. "Technology Sharing Cartels and Industrial Structure under a Rule of Thumb," Working Papers 71, University of Milano-Bicocca, Department of Economics, revised May 2004.
  • Handle: RePEc:mib:wpaper:71
    as

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    File URL: http://dems.unimib.it/repec/pdf/mibwpaper71.pdf
    File Function: First version, 2004
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    References listed on IDEAS

    as
    1. d'Aspremont, Claude & Jacquemin, Alexis, 1988. "Cooperative and Noncooperative R&D in Duopoly with Spillovers," American Economic Review, American Economic Association, vol. 78(5), pages 1133-1137, December.
    2. Malerba, Franco, 1992. "Learning by Firms and Incremental Technical Change," Economic Journal, Royal Economic Society, vol. 102(413), pages 845-859, July.
    3. Allen, Thomas J. & Hyman, Diane B. & Pinckney, David L., 1983. "Transferring technology to the small manufacturing firm: A study of technology transfer in three countries," Research Policy, Elsevier, vol. 12(4), pages 199-211, August.
    4. Baumol, William J, 1992. "Horizontal Collusion and Innovation," Economic Journal, Royal Economic Society, vol. 102(410), pages 129-137, January.
    5. Vives, Xavier, 1990. "Nash equilibrium with strategic complementarities," Journal of Mathematical Economics, Elsevier, vol. 19(3), pages 305-321.
    6. F. H. Hahn, 1962. "The Stability of the Cournot Oligopoly Solution," Review of Economic Studies, Oxford University Press, vol. 29(4), pages 329-331.
    7. Allen, Robert C., 1983. "Collective invention," Journal of Economic Behavior & Organization, Elsevier, vol. 4(1), pages 1-24, March.
    8. Petit, Maria Luisa & Tolwinski, Boleslaw, 1999. "R&D cooperation or competition?," European Economic Review, Elsevier, vol. 43(1), pages 185-208, January.
    9. A. M. Spence, 1981. "The Learning Curve and Competition," Bell Journal of Economics, The RAND Corporation, vol. 12(1), pages 49-70, Spring.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Oligopoly; Cartel; Industrial Structure; Learning; Dynamic Behaviour; Rule of Thumb;

    JEL classification:

    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets

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