The service industries in general and financial services in particular have been disproportionatelylarge investors in information technology. However, critics have suggested that the productivityeffects of this investment have been negligible, a serious outcome given the importance of the...

Significant amount of vertical technology transfer occurs betweendeveloped and developing country firms, yet the literature on intellectual propertyrights did not pay much attention to this aspect...

An important discussion in recent years is the introduction of product patentsand the abolition of process patents. In a model with endogenous number of innovatingfirms, we show that whether product patent increases R&D is ambiguous, and depends onthe type of market demand and the cost of R&D....

We show the effect of patent protection on R&D investment in presence of‘inventing around’ (or imitation) and technology licensing...

We show the effects of Bertrand and Cournot competition on R&D investmentand social welfare in a duopoly with R&D competition where success in R&D isprobabilistic. We show that R&D investments are higher under Bertrand (Cournot)competition when R&D productivities are sufficiently low (high), and...

This paper shows that if number of firms is determined endogenously, Cournot competition generates higher welfare compared to Bertrand competition when products are sufficiently differentiated. If products are close substitutes, welfare is higher under Bertrand competition. We show that the...

This paper compares Bertrand and Cournot equilibria in a horizontallydifferentiated duopoly market with non-tournament R&D competition. We consider thatsuccess in R&D is uncertain. We show that whether firms invest more under Cournotcompetition or Bertrand competition is ambiguous and depends on...

This paper shows the possibility of higher welfare under Cournot competitionin an asymmetric cost duopoly when the firms have the option for technology licensing.We find that if there is licensing with up-front fixed-fee, welfare is higher under Cournotcompetition compared to Bertrand...

Once a new technology has been invented, there is a credible threat of imitationwhen patents are long and imitation cost is low. When imitation is credible, the innovator hasan incentive to postpone technology adoption for relatively high cost of imitation. Thepossibility of licensing eliminates...

We develop a microeconomic banking framework to analyze how liquiditymanagement decisions influence the availability of liquidity to depositors, the viabilityof the asset transformation process and the solvency of banking firms. In particular,we focus on how the optimal allocation of deposits...