Vencatachellum, Désiré; Boivin, Caroline - In: Economics Bulletin 12 (2002) 9, pp. 1-8
We study how network externalities affect research and development (R&D) investments by a non-cooperative duopoly that offers compatible products. We find that multiple R&D equilibria may arise when network externalities are non linear in the number of consumers. The lowest R&D equilibrium...