In a recent paper, Tramontana (Economic Modelling, 27; 350–357, 2010) investigates the stability properties of a Cournot Duopoly game when the demand function is isoelastic. In this note, we show that for some well known applications of two-stage Cournot games (D. Aspremont and Jacquemin,...

This paper shows that innovation (or Schumpeter's) cycles can be demonstrated in a discrete and finite dynamic game of innovation and imitation. We find that the cycles depend crucially on whether imitation is a credible threat and hence, we conclude that strategic interactions are sufficient to...

This paper constructs an ex-ante asymmetric R&D Cournot differential game with knowledge spillovers. It shows that in the long-run equilibrium firms have incentives to innovate as long as the knowledge externalities are bidirectional. We also carry out a series of numerical simulations of the...

This paper extends previous research on the effects of process imitation on economic growth by accounting for stochastic intra-industry spillovers. We employ a non-Schumpeterian growth model to determine the impact of such spillovers on investment in industries where firms are either...

This paper develops an R&D based endogenous growth model in which the firm’s free-riding behavior, prompted by an incomplete technological protection at the industry level, can drive economic growth. Unlike existing endogenous growth models, it shows how free-riding behavior and process...

We propose and experimentally test a mechanism for a class of principal-agent problems in which agents can observe each others' efforts. In this mechanism each player costlessly assigns a share of the pie to each of the other players, after observing their contributions, and the final...

We consider the class of linear voluntary contribution games under the general assumption of heterogeneous endowments. In this context, we assess the performance of the Galbraith Mechanism (GM) relative to a fixed equal sharing allocation in both theory and experiments. Three main empirical...

This article gives an example of an industry where process R&D is not deterred by a lack of Intellectual Property Rights (IPR). We observe that the imitation driven by this lack of IPR acts as a source of competitive pressure on the technological leader who responds by increasing its process...