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This paper tests whether upstream R&D cooperation leads to downstream collusion. We consider an oligopolistic setting where firms enter in research joint ventures (RJVs) to lower production costs or coordinate on collusion in the product market. We show that a sufficient condition for...
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structure characterised by its extent of specialisation, competition and diversity, to yield innovation and productivity growth … (diversity) and Porter externalities (competition) that have provided alternative explanations for innovation and urban growth …Innovation and technological change are central to the quest for regional development. In the globally …
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We present a continuous-time generalization of the seminal R&D model of d'Aspremont and Jacquemin (American Economic Review, 1988) to examine the trade-off between the benefits of allowing firms to cooperate in R&D and the corresponding increased potential for product market collusion. We...
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