Patent licensing in spatial models

Yuanzhu Lu () and Sougata Poddar ()

Economic Modelling, 2014, vol. 42, issue C, 250-256

Abstract: We show that a two-part tariff licensing contract is always optimal to the insider patentee in spatial models irrespective of the size of the innovation or any pre-innovation cost asymmetries. The result provides a simple justification of the prevalence of two-part tariff licensing contracts in industries.

Keywords: Salop model; Hotelling model; Cost-reducing innovation; Patent licensing (search for similar items in EconPapers)
Date: 2014
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (14)

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Related works:
Working Paper: Patent Licensing in Spatial Models (2013)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecmode:v:42:y:2014:i:c:p:250-256

DOI: 10.1016/j.econmod.2014.06.016

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