-simultaneous sequential game, two risk-neutral firms are endowed with a green innovation project that, if successful, would reduce the overall … firm's innovation. In this setting, the R&D investment in a Circular Economy, by affecting the distribution of production … competing in the product market reinforces incentives to invest in green innovation. This suggests that governments aimed to …

The performance of market based environmental regulation is affected by patents and vice versa. This interaction is … studied for a new type of innovation where new technologies reduce emissions of a specific pollutant but at the same time … cause a new type of damage. A robust finding is that the efficiency of permits is affected by monopoly pricing of the patent …