R&D Incentives in Compatible Networks.

Network externalities describe the phenomenon that a good becomes more valuable to each user the more other consumers use the same of a compatible product. Whereas most of the recent literature on network effects has focused on the adoption of products, this paper shows that network externalities can have important feedback effects on the incentives to carry out R&D and develop new products.

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Year of publication:	1996
Authors:	Kristiansen, E-G ; Thum, M
Institutions:	Norges Handelshøyskole (NHH)
Subject:	RESEARCH AND DEVELOPMENT \| INCENTIVES \| NETWORK ANALYSIS

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Series:	Norwegian School of Economics and Business Administration-.
Type of publication:	Book / Working Paper
Notes:	29 pages
Classification:	L10 - Market Structure, Firm Strategy, and Market Performance. General ; O31 - Innovation and Invention: Processes and Incentives ; D43 - Oligopoly and Other Forms of Market Imperfection
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005672049