Investment in transport and communication technology in a cournot duopoly with trade.

Lambertini, Luca ; Rossini, Giampaolo (2001) Investment in transport and communication technology in a cournot duopoly with trade. Bologna: Dipartimento di Scienze economiche DSE, p. 18. DOI 10.6092/unibo/amsacta/4894. In: Quaderni - Working Paper DSE (407). ISSN 2282-6483.
Full text available as:
[img]
Preview
Text(pdf)
License: Creative Commons Attribution Non-commercial

Download (246kB) | Preview

Abstract

We investigate the role of R&D investment in transport and communication (TCRD) in a Cournot duopoly with trade. Our analysis suggests that firms may invest in TCRD at reasonable levels of efficiency of TCRD even when they do not maximize their aggrerate payoffs, i.e., when the game ia s prisoner`s dilemma. As we consider countries of different size, it appears that for low levels of efficiency of TCRD only small countries invest. Welfare effects suggest that investing in TCRD is superior fot the country that understands it. The terns of trade improve as the foreign market gets larger and, in some cases, if the foreign firms invest in TCRD.

Abstract
Document type
Monograph (Working Paper)
Creators
CreatorsAffiliationORCID
Lambertini, Luca
Rossini, Giampaolo
Keywords
Transport, communications, R&D, duopoly, trade
Subjects
ISSN
2282-6483
DOI
Deposit date
17 Mar 2016 11:21
Last modified
17 Mar 2016 11:21
URI

Other metadata

Downloads

Downloads

Staff only: View the document

^