This paper considers a modified principal-agent environment, where principals have options to either incentivize agents, or trigger agents' reciprocity. Because the production is uncertain, principals' fixed rate transfer can be easily interpreted as good intention. Theory suggests that...

This article examines the relationship between cost reduction and public goods effect of research joint ventures (RJVs) and strategic entry deterrence. R&D is process innovation à laKamien, Muller and Zang (1992) and R&D cost sharing between the incumbent and the entrant in a RJV can be...