Delbono, Flavio ; Lambertini, Luca
(2017)
Innovation and product market concentration: Schumpeter, Arrow and the inverted-U shape curve.
Bologna:
Dipartimento di Scienze economiche DSE,
p. 19.
DOI 10.6092/unibo/amsacta/5581.
In: Quaderni - Working Paper DSE
(2006).
ISSN 2282-6483.
Full text available as:
Preview |
Text(pdf)
License: Creative Commons: Attribution-Noncommercial 3.0 (CC BY-NC 3.0) Download (627kB) | Preview |
Abstract
We investigate the relationship between market concentration and industry innovative effort within a familiar two-stage model of R&D race in which firms compete à la Cournot in the product market. With the help of numerical simulations, we show that such a setting is rich enough to generate Arrovian, Schumpeterian and inverted-U curves. We interpret these different patterns on the basis of the relative strength of the technological incentive and the strategic incentive.
Abstract
Other metadata
Downloads
Downloads
Staff only:
