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The real option theory provides a useful tool to evaluate an R&D investment under uncertainty because, unlike the NPV …. -- American Exchange options ; game theory ; Montecarlo simulation ; R&D ; information revelation …
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This paper analyzes the influence of Information structure on the process of knowledge accumulation in a differential game of duopolistic R&D competition. By comparing open-loop and feedback Nash equilibria, representing imperfect and perfect information structures, we show that in the feedback...
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