The Welfare Effects of Research and Production Joint Ventures

Kathryn L. Combs ()
Additional contact information
Kathryn L. Combs: University of St. Thomas

A chapter in Essays in Honor of Edwin Mansfield, 2005, pp 173-185 from Springer

Abstract: Abstract This paper develops a model to analyze behavior and welfare effects of a research and production joint venture (JV). In the model, a research dollar is more productive if spent in the joint venture because it increases the achievable probability of new product introduction. This efficiency of research and production joint ventures offsets, to some degree, the loss due to higher consumer prices. For some parameter configurations and joint venture membership rules, research and production joint ventures yield higher social welfare than research-only joint ventures (RJVs). This contrasts with some of the industrial organization literature on research collaboration and with traditional antitrust views.

Keywords: R&D; research joint venture; social rate of return; welfare analysis; innovation; game theory (search for similar items in EconPapers)
Date: 2005
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-0-387-25022-9_13

Ordering information: This item can be ordered from
http://www.springer.com/9780387250229

DOI: 10.1007/0-387-25022-0_13

Access Statistics for this chapter

More chapters in Springer Books from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().