With cumulative innovation and imperfect information about the value of innovations, intellectual property rights can result in hold-up and therefore it may be better not to have them. Extending the basic cumulative innovation model to include 'sampling' by second-stage firms, we find that the...

In this work, it is proposed to consider the evolution of markets for technological innovative products as a co-evolutionary process, where the product characteristics are the results of the interaction between producers technological advances and buyers’ preferences evolution. A...