Optimal R&D Levels When Firm J Benefits From Firm i's Inventive Activity

John M. Hartwick

Working Papers from Queen's University, Department of Economics

Abstract: We amend the static model of industry structure in Dasgupta and Stiglitz to include external benefits from a firm's R&D. Now "the market" under invests in R&D relative to the social optimum. The work of Mansfield suggests such external benefits are pervasive.

Date: 1984

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Persistent link: http://EconPapers.repec.org/RePEc:qed:wpaper:547

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