nep-ino New Economics Papers
on Innovation
Issue of 2014‒12‒03
27 papers chosen by
Steffen Lippert
University of Auckland

  1. Drivers of Eco-Innovation in the Italian Wine Industry By Muscio, Alessandro; Nardone, Gianluca; Stasi, Antonio
  2. The role of industry and economic context in open innovation: Evidence from Nigeria By Egbetokun A.; Oluwatope O.; Adeyeye D.; Sanni M.
  3. Cross-border M&As and innovative activity of acquiring and target firms By Stiebale, Joel
  4. The Role of Innovation Intermediaries in Innovation Systems By Nilsson, Magnus; Sia-Ljungström, Clarissa
  5. Financing Innovation By William R. Kerr; Ramana Nanda
  6. Innovation and horizontal mergers in a vertically related industry By Ibáñez Zarate, Guiomar
  8. The Effect of Patent Grant on the Geographic Reach of Patent Sales By Drivas, Kyriakos; Fafaliou, Irene; Fampiou, Elpiniki; Yannelis, Demetrius
  9. Product market regulation, innovation and productivity By Bruno Amable; Ivan Ledezma; Stéphane Robin
  10. Invalid but infringed? An analysis of Germany's bifurcated patent litigation system By Cremers, Katrin; Gaessler, Fabian; Harhoff, Dietmar; Helmers, Christian
  11. Innovation, Productivity, and Training By Dostie, Benoit
  12. R&D investment, productivity and rates of return: A meta-analysis of the evidence on OECD firms and industries By Ugur, Mehmet; Guidi, Francesco; Solomon, Edna; Trushin, Eshref
  13. Implications of the Recent Financial Crisis for Innovation By William Milberg; Nina Shapiro
  14. Innovations contemporaines : contreperformances ou étape transitoire ? By Michèle Debonneuil; David Encaoua
  15. Preventing and managing disasters during public events: The collaborative development of an ICT ecosystem By van Gorp, Annemijn; de Vries, Erik
  16. National strategic framework for research & innovation. 2014-2020 By Greek National Council for Research & Technology (2010-2013)
  17. Innovation, Diffusion, and Trade: Theory and Measurement By Santacreu, Ana Maria
  18. Incentives to Innovate, Compatibility and Efficiency in Durable Goods Markets with Network Effects By Athanasopoulos, Thanos
  19. The Market Impacts of Pharmaceutical Product Patents in Developing Countries: Evidence from India By Mark Duggan; Craig Garthwaite; Aparajita Goyal
  20. Negotiating for the Market By Joshua S. Gans
  21. Open Innovation - ein universelles Erfolgsrezept? Verbreitung und Effekte externer Impulsquellen für Innovation bei deutschen Industriebetrieben By Som, Oliver; Jäger, Angela; Maloca, Spomenka
  22. Unemployment and Innovation By Joseph E. Stiglitz
  23. Entry with Two Correlated Signals By Alex Barrachina; Yair Tauman; Amparo Urbano Salvador
  24. Longevity and technological change By Gehringer, Agnieszka; Prettner, Klaus
  25. Markets for Scientific Attribution By Joshua Gans; Fiona Murray
  26. Luxe, innovations et socialisme. Le cas des cigares cubains By Rémy Herrera
  27. Das Zukunftspanel Mittelstand: Eine Expertenbefragung zu den Herausforderungen des Mittelstands By Welter, Friederike; May-Strobl, Eva; Schlömer-Laufen, Nadine; Kranzusch, Peter; Ettl, Kerstin

  1. By: Muscio, Alessandro; Nardone, Gianluca; Stasi, Antonio
    Abstract: The importance of eco-innovations for industry has been rising exponentially in recent years. However, even if recent trends show that firms are increasingly committed to eco-innovations, there is little knowledge on why and how companies integrate environmental sustainability into new product development. In this paper we offer a comprehensive analysis of the drivers of eco-innovation in the Italian wine industry on the basis of a large survey on Italian wine producers. We analyse the impact of firms’ characteristics and their technological and organizational capabilities on the introduction of eco-innovations. The relevance of the drivers in influencing the probability of introducing eco-innovations is measured with a latent class econometric model. Our evidence shows that business characteristics and firms’ scientific search processes and their general innovative behaviour are key drivers of eco-innovation. Therefore, according to our results, firms’ commitment to eco-innovate does not differ substantially from other types of innovation activities.
    Keywords: Wine industry, eco-innovation, environmental innovation, green innovation, innovation drivers, Agribusiness, Agricultural and Food Policy, Food Consumption/Nutrition/Food Safety, Industrial Organization, Institutional and Behavioral Economics, Research Methods/ Statistical Methods, L2, L6, O3, Q5,
    Date: 2013–09
  2. By: Egbetokun A.; Oluwatope O.; Adeyeye D.; Sanni M. (UNU-MERIT)
    Abstract: Using innovation survey data on a sample of UK manufacturing firms, Laursen and Salter 2006 documented a non-monotonous relationship between external search strategies and firm-level innovative performance. We find partially similar results in a combined sample of Nigerian manufacturing and service firms. A major discrepancy is that external search appears not to matter for radical innovation in our sample. Based on multiple research streams including economics of innovation and development economics, we develop and test new hypotheses on sectoral differences and the role of the economic context. We find that in a developing context, a wider range of innovation obstacles implies broader external search and more intense obstacles require deeper search. We explore the implications of these results for management research and theory.
    Keywords: Multiple or Simultaneous Equation Models; Multiple Variables: General; Transactional Relationships; Contracts and Reputation; Networks; Management of Technological Innovation and R&D;
    JEL: L14 O32 C30
    Date: 2014
  3. By: Stiebale, Joel
    Abstract: This paper analyzes the effects of cross-border mergers and acquisitions (M&As) on the innovation of European firms. The results indicate a considerable increase in post-acquisition innovation in the merged entity. This is mainly driven by inventors based in the acquirer's country, while innovation in the target's country tends to decline. The asymmetry of effects between acquiring and target firms increases with pre-acquisition differences in knowledge stocks, indicating a relocation of innovative activities towards more efficient usage within multinational firms. Instrumental variable techniques as well as a propensity-score matching approach indicate that the effect of cross-border M&As on innovation is causal.
    Keywords: Multinational Enterprises,Mergers and Acquisitions,Innovation
    JEL: F23 D22 G34 O31
    Date: 2014
  4. By: Nilsson, Magnus; Sia-Ljungström, Clarissa
    Abstract: The paper investigates the role of innovation intermediaries in sector-specific regional innovation systems. Innovation is viewed as a non-linear, iterative process and open process involving multiple actors from different parts of the innovation system. The paper studies in particular innovation intermediaries that provide support to firms in the regional innovation system through the fulfillment of key innovation system functions. The implication of the fulfillment of innovation system functions by innovation intermediaries in the Scandinavian food sector context is examined through in-depth interviews and analysis of secondary documents. It concludes with a discussion on the potential of enabling innovation intermediaries to play a more strategic role in regional innovation system.
    Keywords: Innovation intermediaries, innovation systems, innovation system functions, Agribusiness, Food Consumption/Nutrition/Food Safety, Research Methods/ Statistical Methods,
    Date: 2013–09
  5. By: William R. Kerr; Ramana Nanda
    Abstract: We review the recent literature on the financing of innovation, inclusive of large companies and new startups. This research strand has been very active over the past five years, generating important new findings, questioning some long-held beliefs, and creating its own puzzles. Our review outlines the growing body of work that documents a role for debt financing related to innovation. We highlight the new literature on learning and experimentation across multi-stage innovation projects and how this impacts optimal financing design. We further highlight the strong interaction between financing choices for innovation and changing external conditions, especially reduced experimentation costs.
    JEL: G21 G24 L26 M13 O31 O32
    Date: 2014–11
  6. By: Ibáñez Zarate, Guiomar
    Abstract: This paper analyzes the effects of horizontal mergers on innovation and consumer welfare in a vertically related industry context, in which downstream firms compete for customers with a differentiated final good and can undertake R&D activities to reduce their unit costs. Upstream and downstream horizontal mergers can take place. The results suggest that competition authorities aiming to promote innovation and consumer welfare should treat upstream and downstream mergers differently, since horizontal mergers between upstream firms are detrimental to innovation and consumer welfare. By contrast, policy makers should evaluate the market characteristics under downstream integration. We show that downstream horizontal mergers can be both innovation and consumer welfare enhancing in the short run, when the markets are sufficiently small. Keywords: Horizontal Mergers. Innovation. Vertical Relations. JEL Classification Numbers: L22, L41, O32
    Keywords: Empreses, Direcció general d', Monopolis, Innovacions tecnològiques -- Direcció i administració, 33 - Economia,
    Date: 2014
  7. By: Paul O'Sullivan (Economics, National University of Ireland, Maynooth);
    Abstract: This paper examines the effect of R&D leadership on Research Joint Venture formation. If firms compete in R&D, there is a first (second)-mover advantage, when spillovers are relatively low (high). RJV profits exceed those of R&D leadership, except for a very narrow range of low unit R&D costs and spillovers. For a leader, preventing follower activity is only profitable if unit R&D costs and spillovers are relatively low. If unit R&D costs are sufficiently low, preventing the follower from becoming active may be welfare dominant but not profit maximizing, possibly justifying a role for government policy to subsidise R&D investment
    JEL: D21 L13
    Date: 2014
  8. By: Drivas, Kyriakos; Fafaliou, Irene; Fampiou, Elpiniki; Yannelis, Demetrius
    Abstract: This paper examines whether patents increase the geographic reach of the market for ideas. By employing a dataset of 25,127 US patents traded between US located firms, we find that patents sold during application phase are less likely to be traded outside the seller‟s state than patents that have been issued. To tackle the endogeneity issues we employ coarsened exact matching techniques. We find that patent grant increases the likelihood of a patent to be traded across boundaries of the state. This evidence is stronger for patents originating from the less innovative US states.
    Keywords: patent grant, patent applications, market for patents, geographic reach of technology, coarsened exact matching
    JEL: O32 O33
    Date: 2014–11–21
  9. By: Bruno Amable (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Paris I - Panthéon-Sorbonne, CEPREMAP - Centre pour la recherche économique et ses applications - Centre pour la recherche économique et ses applications, IUF - Institut Universitaire de France - Ministère de l'Enseignement Supérieur et de la Recherche Scientifique); Ivan Ledezma (LEDa - Université Paris-Dauphine, IRD - DIAL - UMR 225); Stéphane Robin (PRISM - Pôle de recherche interdisciplinaire en sciences du management - Université Paris I - Panthéon-Sorbonne : EA4101)
    Abstract: Several recent policy and academic contributions consider that liberalising product markets would foster innovation and growth. This paper analyses the innovation-productivity relationship at the industry-level for a sample of OECD manufacturing industries. We pay particular attention to the vertically-induced influence of product market regulation (PMR) of key input sectors of the economy on the innovative process of manufacturing and its consequences on productivity. We test for a differentiated effect of this type of PMR depending on whether countries are technological leaders or laggards in a given industry and for a given time period. Contrary to the most widespread policy claims, the innovation-boosting effects of liberalisation policies at the leading edge are systematically not supported by the data. These findings question the relevance of a research and innovation policy based on liberalisation.
    Keywords: Product market regulation; innovation; productivity; growth
    Date: 2014–03
  10. By: Cremers, Katrin; Gaessler, Fabian; Harhoff, Dietmar; Helmers, Christian
    Abstract: We analyze the impact of the probabilistic nature of patents on the functioning of Germany's bifurcated patent litigation system where infringement and validity of a patent are decided independently by different courts. We show that bifurcation creates situations in which a patent is held infringed that is subsequently invalidated. Our conservative estimates indicate that 12% of infringement cases in which the patent's validity is challenged produce such 'invalid but infringed' decisions. We also show that having to challenge a patent's validity in separate court proceedings means that more resource-constrained alleged infringers are less likely to do so. We find evidence that 'invalid but infringed' decisions create uncertainty which firms that were found to infringe an invalid patent attempt to reduce by filing more oppositions against newly granted patents immediately afterwards.
    Keywords: Litigation,innovation,patents,bifurcation,Germany
    Date: 2014
  11. By: Dostie, Benoit (HEC Montreal)
    Abstract: The firm's stock of human capital is an important determinant of its ability to innovate. As such, any increase in this stock through firm-sponsored training might lead to more innovation. We test this hypothesis using detailed data on firms' human capital investments and innovation performance, the Canadian longitudinal linked employer-employee data from 1999-2006. Our results, with workplace fixed-effects and allowing for time-varying productivity shocks, demonstrate that more training leads to more product and process innovation, with on-the-job training playing a role that is as important as classroom training. We then demonstrate that on-the-job training has a positive impact on firm-level productivity through improved process innovation.
    Keywords: innovation, firm-sponsored training, productivity, linked employer-employee data
    JEL: J24 L22 M53 O32
    Date: 2014–09
  12. By: Ugur, Mehmet; Guidi, Francesco; Solomon, Edna; Trushin, Eshref
    Abstract: The volume of work on productivity effects of research and development (R&D) investment has expanded significantly following the contributions of Zvi Griliches and others to microeconometric work in late 1970s and early 1980s. This study aims to meta-analyse the research findings based on OECD firm and industry data, with a view to establish where the balance of the evidence lies and what factors may explain the variation in reported evidence. Drawing on 1,262 estimates from 64 primary studies, we report that the average effect of R&D capital on productivity and the average rate of return on R&D investment are both positive, but smaller than the summary measures reported in previous narrative reviews and meta-analysis studies. We also report that a range of moderating factors have significant effects on the variation among productivity and rates-of-return estimates reported in primary studies. Moderating factors with significant effects include: (i) measurement of inputs and output; (ii) model specifications; (iii) estimation methods; (iv) levels of analysis; (v) countries covered; and (vi) publication type among others.
    Keywords: Research and Development (R&D), Innovation, Productivity, Firm, Industry, OECD, Meta-Analysis
    JEL: C49 C80 D24 O30 O32 O33
    Date: 2014–08–10
  13. By: William Milberg; Nina Shapiro (Schwartz Center for Economic Policy Analysis (SCEPA))
    Abstract: We discuss the effects of the stock market in the second part of the paper, which centers on the relation between stock prices and R&D investment. We examine Tobin’s (and Minsky’s) “q” theory and the implications it has for this investment, along with the relationship between innovation and stock prices in the 1920s and 1990s. We compare the links between them in these periods with those of the 2000s, arguing that what distinguishes the recent run up in asset prices from the bubbles of those other eras is that this bubble was not accompanied by an investment boom, in either fixed capital or R&D. Finance financed finance, increasing its availability instead of productive capabilities, with the innovations of the period mainly financial, and the legacy not new production facilities and knowledge that could be utilized under more propitious conditions, but unfinished housing developments and abandoned houses.
    Keywords: stock market, innovation
    Date: 2013–05
  14. By: Michèle Debonneuil (Caisse des Dépôts et Consignations - sans); David Encaoua (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Paris I - Panthéon-Sorbonne, EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris)
    Abstract: Dans la phase des vagues d'innovations contemporaines, phase qu'on assimile à la troisième révolution industrielle ou encore à l'ère du numérique, les relations entre innovations, gains de productivité et emplois font l'objet de vives controverses, notamment aux Etats-Unis, pays phare en matière d'innovation. D'une part, la croissance des gains de productivité connaîtrait un certain ralentissement dans le secteur non manufacturier, conduisant à une croissance économique faible. D'autre part, les innovations contemporaines ne créeraient plus autant d'emplois qu'après la deuxième révolution industrielle. Plus précisément, la crise de l'emploi est à l'origine de la crise de croissance. La crise de l'emploi se manifeste elle-même par le fait que les technologies numériques sont à l'origine d'une bipolarisation des emplois selon qu'ils requièrent des tâches routinières ou non routinières, les premières étant substituables par des technologies numériques. Ces observations soulèvent évidemment une importante question : les innovations contemporaines ne serviraient-elles plus à mettre en marche la dynamique de la croissance et de l'emploi ? Ou bien ne s'agit-il que d'une phase transitoire, en quête de nouvelles perspectives ? Ce travail plaide en faveur du deuxième terme de l'alternative et il procède pour cela en deux temps. Premièrement, il examine les différents arguments qui sous tendent les inquiétudes et controverses sur les contreperformances des innovations contemporaines. Deuxièmement, il présente quelques interprétations et suggère les perspectives sociales ouvertes par l'évolution des technologies numériques qui constituent le coeur des innovations contemporaines.
    Keywords: productivité, croissance, emploi, innovation autonomisante, organisation sciale, quaternaire
    Date: 2014–10
  15. By: van Gorp, Annemijn; de Vries, Erik
    Keywords: Public events,crisis management,event safety & security,technological innovation
    Date: 2014
  16. By: Greek National Council for Research & Technology (2010-2013)
    Abstract: SAFE Professor Michalis Haliassos was a member of the National Council for Research and Technology (ESET) established by the Government of Greece for the period 2010-2013. The council, consisting of eleven scientists from a range of disciplines, has now published their communiqué "National Strategic Framework for Research and Innovation 2014-2020". To promote the advancement of research, technology and innovation in Greece, the strategic plan proposed by the authors seeks to identify areas of existing research strength and excellence that can be further advanced to become engines for progress and growth in Greece, as well as flaws inherent to the present system. The authors stress the need to address current constraints to growth, which include the declining education system; the confusion and weaknesses of R&D governance and management; the discontinuities and inefficiencies of resource allocation and investment; the lack of adaptation to clearly-defined national priorities; and the inadequate opportunities and funding for high-quality research and development to flourish. They stress the need for prioritisation and efficient allocation; stability of the policy frame; predictability of planning; provision of opportunity; recognition of excellence; and responsiveness to current and future needs.
    Keywords: Greece,growth,innovation
    Date: 2014
  17. By: Santacreu, Ana Maria (Federal Reserve Bank of St. Louis)
    Abstract: I develop a multicountry-model in which economic growth is driven mainly by domestic innovation and the adoption of foreign technologies embodied in traded intermediate goods. Fitting the model to data on innovation, output per capita, and trade in varieties for the period 1996-2007, I estimate the costs of both domestic innovation and adopting foreign innovations, and then decompose the sources of economic growth around the world. I find that the adoption channel has been especially important in developing countries, and accounts for about 65% of their “embodied” growth. Developed countries grow mainly through the domestic innovation channel, which explains 85% of their “embodied” growth. A counterfactual exercise shows that if all countries reached the same research productivity, then (i) the world’s steady-state growth rate would double, and (ii) developing countries would close the gap in terms of both growth rate and income per capita.
    Keywords: innovation; technology adoption; extensive margin of trade; growth.
    JEL: F11 F43 O33
    Date: 2014–05–01
  18. By: Athanasopoulos, Thanos (Department of Economics, University of Warwick)
    Abstract: This paper investigates the relation between firms’R&D incentives and their compatibility decisions regarding durable, imperfectly substitutable network goods in the presence of forward looking consumers. Non drastic product innovation is sequential and both an initially dominant firm and a smaller rival are potential inventors. For sufficiently innovative future products, our first key result is that the dominant firm invests more when there is compatibility and voluntarily decides to supply interoperability information. This happens as the probability that he is the only inventor increases, allowing him to enjoy a higher expected future profit that outweighs the current lost revenue. For economies whose initial market size is considerably large, the rival also demands compatibility but this is no longer true in industries with a relatively smaller number of existing consumers. For less innovative new versions, the dominant firm rejects compatibility and there is a cutoff in network externalities below which he invests more when there is incompatibility. Regarding welfare, we find that a laissez faire Competition Law with respect to the IPR holders is socially preferable.
    Date: 2014
  19. By: Mark Duggan; Craig Garthwaite; Aparajita Goyal
    Abstract: In 2005, as the result of a World Trade Organization mandate, India began to implement product patents for pharmaceuticals that were compliant with the 1995 Trade-Related Aspects of Intellectual Property Rights (TRIPS). We combine pharmaceutical product sales data for India with a newly gathered dataset of molecule-linked patents issued by the Indian patent office. Exploiting variation in the timing of patent decisions, we estimate that a molecule receiving a patent experienced an average price increase of just 3-6 percent with larger increases for more recently developed molecules and for those produced by just one firm when the patent system began. Our results also show little impact on quantities sold or on the number of pharmaceutical firms operating in the market.
    JEL: I11 L1 O34
    Date: 2014–10
  20. By: Joshua S. Gans
    Abstract: In a dynamic environment where underlying competition is "for the market," this paper examines what happens when entrants and incumbents can instead negotiate for the market. For instance, this might arise when an entrant innovator can choose to license to or be acquired by an incumbent firm; i.e., engage in cooperative commercialization. It is demonstrated that, depending upon the level of firms' potential dynamic capabilities, there may or may not be gains to trade between incumbents and entrants in a cumulative innovation environment; that is, entrants may not be adequately compensated for losses in future innovative potential. This stands in contrast to static analyses that overwhelmingly identify positive gains to trade from such cooperation.
    JEL: O31 O32 O34
    Date: 2014–10
  21. By: Som, Oliver; Jäger, Angela; Maloca, Spomenka
    Abstract: "Open Innovation" ist heute eines der bekanntesten und meist diskutierten Konzepte des Innovationsmanagements. Es beschreibt die notwendige Öffnung des betrieblichen Innovationsprozesses gegenüber externen Akteuren, da die für Innovation notwendigen Wissensbestände in Zeiten zunehmender Komplexität und gesellschaftlicher Dynamik nicht mehr ausschließlich im Unternehmen vorgehalten werden können. Kooperationsbereitschaft und die Beteiligung an Netzwerken gelten als entscheidende Faktoren für künftige Innovationserfolge. Damit sollen externes Wissen und neue Ideen auch von Dritten optimal genutzt, Forschungsergebnisse noch schneller in Wertschöpfung umgesetzt und Kundenwünsche bestmöglich erfüllt werden. Nach etwas mehr als 10 Jahren "Open Innovation" zeigt die vorliegende Mitteilung, dass in der Industrie bislang nur in geringem Umfang externe Impulsquellen für Innovation genutzt werden. Wenn, dann spielen vor allem Kunden, Zulieferer und Fachveranstaltungen eine wichtige Rolle. Jedoch führt eine zunehmende Öffnung nicht automatisch zu einem höheren Innovationserfolg. Um die Potenziale von Open Innovation erfolgreich ausschöpfen zu können, braucht es vor allem Eines: ein funktionierendes internes Innovationsmanagement, das interne und externe Impulse erfolgreich kombiniert.
    Date: 2013
  22. By: Joseph E. Stiglitz
    Abstract: This paper analyzes equilibrium, dynamics, and optimal decisions on the factor bias of innovation in a model of induced innovation. In a model with full employment, we show that (a) if the elasticity of substitution is always less than or greater than unity, there is a unique steady state equilibrium; (b) if the elasticity of substitution is less than unity, the steady state is stable, but convergence is oscillatory; (c) if the elasticity of substitution is greater than unity, the steady state is a saddle point; and (d) if the elasticity of substitution is less than unity for both high and low effective capital labor ratios but greater than unity for intermediate values, then there can be multiple steady states. In a model where efficiency wages lead to equilibrium unemployment, we show that if the elasticity of substitution is less than unity, there will be a bias towards excessive labor augmenting innovation, resulting in too high unemployment, with convergence to the unique steady state being oscillatory, rather than monotonic. Similarly, if the elasticity of substitution between skilled and unskilled labor is less than unity, and there is efficiency wage unemployment for unskilled labor only, there is will be excessively skill-biased innovation. This paper provides an alternative resolution to the Harrod-Domar conundrum of the disparity between the natural and warranted rate of growth to that of Solow, with strong policy implications, for instance, concerning the effects of income distribution and monetary policy both in the short run and the long.
    JEL: E24 O30 O31 O33
    Date: 2014–11
  23. By: Alex Barrachina (University Carlos III, Madrid, Spain); Yair Tauman (IDC Herzliya, Israel, and Stony Brook University, USA); Amparo Urbano Salvador (ERI-CES, University of Valencia)
    Abstract: We analyze the effect of industrial espionage on limit-pricing models. We consider an incumbent monopolist engaged in R&D trying to reduce his cost of production and deter a potential entrant from entering the market. The R&D project may be successful or not and its outcome is a private information of the incumbent. The entrant has an access to an Intelligence System (IS hereafter) of a certain precision that generates a noisy signal on the outcome of the R&D project, and she decides whether to enter the market based on two signals: the price charged by the incumbent and the signal sent by the IS. It is assumed that the precision of the IS is exogenous and common knowledge. Our fundamental result is that for intermediate values of the IS precision, the set of pooling equilibria is non-empty even with profitable entry and the entrant enters if the IS tells her the R&D project was not successful. Since in the classical limit-pricing models the entrant never enters in a pooling equilibrium, the use of the IS by the entrant increases competition in pooling equilibrium with high probability. Moreover, the incumbent can deter profitable entry with positive probability.
    Keywords: Espionage, Entry deterrence, Asymmetric information, Pooling equilibria.
    JEL: C72 D82 L10 L12
    Date: 2014–11
  24. By: Gehringer, Agnieszka; Prettner, Klaus
    Abstract: We analyze the impact of increasing longevity on technological progress within an R&D-based endogenous growth framework and test the model's implications on OECD data from 1960 to 2011. The central hypothesis derived in the theoretical part is that - by raising the incentives of households to invest in physical capital and in R&D - decreasing mortality positively impacts upon technological progress and thereby also on productivity growth. The empirical results clearly confirm the theoretical prediction which implies that the ongoing demographic changes in industrialized economies are not necessarily detrimental to economic prosperity, at least as far as technological progress and productivity growth are concerned.
    Keywords: Demographic Change,Longevity,Productivity,Technological Progress,Economic Prosperity
    JEL: J11 O11 O40 O41
    Date: 2014
  25. By: Joshua Gans; Fiona Murray
    Abstract: Formal attribution provides a means of recognizing scientific contributions as well as allocating scientific credit. This paper examines the processes by which attribution arises and its interaction with market assessments of the relative contributions of members of scientific teams and communities – a topic of interest organizational economics of science and in understanding scientific labor markets. We demonstrate that a pioneer or senior scientist’s decision to co-author with a follower or junior scientist depends critically on market attributions as well as the timing of the co-authoring decision. This results in multiple equilibrium outcomes each with different implications for expected quality of research projects. However, we demonstrate that the Pareto efficient organisational regime is for the follower researcher to be granted co-authorship contingent on their own performance without any earlier pre-commitment to formal attribution. We then compare this with the alternative for the pioneer of publishing their contribution and being rewarded through citations to back to it. While in some equilibria (especially where co-authoring commitments are possible) there is no advantage to interim publication, in others this can increase expected research quality.
    JEL: O31 O34
    Date: 2014–11
  26. By: Rémy Herrera (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Paris I - Panthéon-Sorbonne)
    Abstract: Cet article est consacré aux liaisons entre luxe et innovations dans le cadre d'une économie socialiste. Le cas des Habanos, cigares cubains haut de gamme, tout à fait singulier, en fournit l'application. Après une analyse des tendances majeures du secteur du tabac en général et du tabac de grand luxe en particulier, dans le cas de Cuba, en première partie, l'accent est placé, dans une seconde partie, sur la coexistence de méthodes traditionnelles et des diverses formes d'innovations dans ce secteur. Ces innovations peuvent être d'ordre scientifique et technologique, ou bien liées aux processus de production ou aux produits.
    Keywords: Luxe; innovations; socialisme; cigares; Cuba
    Date: 2013–04
  27. By: Welter, Friederike; May-Strobl, Eva; Schlömer-Laufen, Nadine; Kranzusch, Peter; Ettl, Kerstin
    Abstract: Demografischer Wandel, Globalisierung, Rohstoffknappheit, Klimawandel sowie eine sich beschleunigende technologische Entwicklung stellen die mittelständische Wirtschaft vor (neue) Herausforderungen. Eine Identifikation und Bewertung aktuell anstehender und zukünftiger Herausforderungen wurde mithilfe des neu aufgelegten Zukunftspanels Mittelstand, einer internetbasierten Expertenbefragung aus Mittelstandspolitik, Wirtschaft und Mittelstandsforschung, vorgenommen. In dieser ersten Runde des Zukunftspanels Mittelstand wurden 58 Themen identifiziert, die sich 8 Handlungsfeldern zuordnen lassen. Die Ergebnis-se helfen bei der Erarbeitung zukünftiger Schwerpunktthemen für die Mittelstandspolitik und Mittelstandsforschung.
    Abstract: Changing demographics, globalization, scarcity of resources, climate change and dynamic technology and innovation will affect small and medium sized enterprises in Germany (Mittelstand companies). In order to identify and evaluate actual challenges and upcoming topics an internet-based survey of experts which comprised representatives of politics, business and academia - the so called IfM Bonn Future Panel on SMEs - was conducted. In this first round of survey we found 58 topics which were attributed to 8 action fields. The findings will help to elaborate future key topics for SME policy makers and SME research.
    Keywords: Mittelstand,Mittelstandsforschung,Mittelstandspolitische Herausforderungen und Trends,SMEs,research on SMEs,challenges and upcoming topics for SMEs and SME politics in Germany
    JEL: L20 L26
    Date: 2014

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