Innovation rivalry: theory and empirics

Author/s Jhon T. Scott, Troy J. Scott
Publishing Year 2014 Issue 2014/1
Language Italian Pages 29 P. 25-53 File size 214 KB
DOI 10.3280/POLI2014-001003
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This paper develops the theory of a U relation between seller concentration and R&D investment and integrates the new theory with the traditional expectation of an inverted-U relation. The paper illustrates the U relation, and the integrated U and inverted- U relations, for a single type of R&D performed in most industries, exploiting differences in the degree of structural competition across industries while admitting little if any variation in the type of R&D.

Keywords: Innovation, inverted-U, research and development (R&D), seller concentration, Schumpeterian competition

Jel codes: L10, L20, O31, O32

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Jhon T. Scott, Troy J. Scott, Innovation rivalry: theory and empirics in "ECONOMIA E POLITICA INDUSTRIALE " 1/2014, pp 25-53, DOI: 10.3280/POLI2014-001003