This paper explores the effects of innovation efficiency on technology gap and product diversity between a leading firm … and its competitor. Our analysis shows some interesting results: when innovation efficiency is sufficiently large and … innovation efficiency on consumer surplus and social welfare. Managerial implications are discussed. …

a step-by step innovation model we explicitly introduce the distinction between knowledge and technology information …The main objective of this paper is to analyze the links between product market competition, innovation and growth. In … efficient rivals master the disclosed knowledge, allowing them to start a new race from the cutting edge of the technology …

This paper studies the effect of competition on firm innovation by developing a discrete-time endogenous growth model … where multi-product firms do two types of innovation subject to friction in technology spillovers. Firms improve their … existing products through internal innovation while entering others' product markets through external innovation. We introduce …