This paper studies strategic R&D policy with endogenous timing of firms’ moves within a two-period framework. Within this framework the government can make a policy commitment only in the second period due to an information lag vis-à-vis the firms. The firms can, if they choose, make their...

This paper studies strategic R&D policy with endogenous timing of firms’ moves within a two‐period framework. Within this framework the government can make a policy commitment only in the second period due to an information lag vis‐à‐vis the firms. The firms can, if they choose, make...