Park, Jee-Hyeong - In: Canadian Journal of Economics 34 (2001) 4, pp. 967-987
In this paper strategic R&D policy is analysed, where a firm and a firm compete in a third country with vertically differentiated ( and ) products. If the product market is under price competition, the high-tech (low-tech) firm's government has an incentive to tax (subsidize) its domestic firm's...