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on Technology and Industrial Dynamics |
| By: | Hielke Buddelmeyer, Paul H. Jensen and Elizabeth Webster (Melbourne Institute of Applied Economic and Social Research and Centre for Microeconometrics, The University of Melbourne and IZA Bonn); Paul H. Jensen (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne and Intellectual Property Research Institute of Australia, The University of Melbourne); Elizabeth Webster (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne and Intellectual Property Research Institute of Australia, The University of Melbourne) |
| Abstract: | While many firms compete through the development of new technologies and products, it is well known that new-to-the-world innovation is inherently risky and therefore may increase the probability of firm death. However, many existing studies consistently find a negative association between innovative activity and firm death. We argue that this may occur because authors fail to distinguish between innovation investments and innovation capital. Using an unbalanced panel of over 290,000 Australian companies, we estimate a piecewise-constant exponential hazard rate model to examine the relationship between innovation and survival and find that current innovation investments increase the probability of death while innovation capital lowers it. |
| Date: | 2006–07 |
| URL: | http://d.repec.org/n?u=RePEc:iae:iaewps:wp2006n15&r=tid |
| By: | Langinier, Corinne |
| Abstract: | Basic innovations are often fundamental to the development of applications that may be developed by other innovators. In this setting, we investigate whether patent pools can rectify the lack of incentives for developers to invest in applications. Following Green and Scotchmer (1995), we also wonder whether broad basic patents are necessary to provide enough incentives for basic innovators. We show that patent pools are more likely to be formed with patents of very different breadth, or patents of similarly wide breadth. Further, even though patent pools rectify the problem of developers’ incentives, they may reduce the incentive for doing basic research. |
| Keywords: | Patent pool, innovation, breadth |
| JEL: | L2 |
| Date: | 2006–07–19 |
| URL: | http://d.repec.org/n?u=RePEc:isu:genres:12647&r=tid |
| By: | Frédéric Deroian (GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - [Université de la Méditerranée - Aix-Marseille II][Université de droit, d'économie et des sciences - Aix-Marseille III] - [Ecole des Hautes Etudes en Sciences Sociales]); Frédéric Gannon (EconomiX - [CNRS : UMR7166] - [Université de Paris X - Nanterre]) |
| Abstract: | Abstract: We study rival firms' incentives in quality-improving Research and Development (R&D) networks. The analysis stresses the role of free riding associated to collaboration and three major consequences emerge: R&D efforts decrease with the number of partners, networks of alliances are over-connected as compared to the social optimum and the profitmaximizing number of alliances is possibly non monotonic (decreasing then increasing) with respect to inverse measure of product differentiation. |
| Keywords: | and horizontally Differentiated Oligopoly, Product Innovation, R&D, Alliance |
| Date: | 2006–07–10 |
| URL: | http://d.repec.org/n?u=RePEc:hal:papers:halshs-00084891_v1&r=tid |
| By: | Rachel BOCQUET (IREGE, IUT-University of Savoie); Olivier BROSSARD (LEREPS-GRES) |
| Abstract: | We use a specially designed survey on French firms located in Haute-Savoie to provide empirical evidence suggesting that IT adoption is not only influenced by the traditional factors of technology diffusion (rank, stock-order, epidemic effects and complementary organizational practices) but also by local diffusion of knowledge effects. The data collected permit us to make several advances. Firstly, we study the adoption of several authentic Information and Communication Technologies while the recent empirical literature has mainly focused on computer capital stocks or automation tools. Secondly, we construct measures to replace the traditional epidemic effect by different proximity variables. Thirdly, we assess the real impact of proximity on the IT adoption process by examining different channels of knowledge transmission among nearby firms, from knowledge spillovers to well-regulated arrangements. Our econometric methodology is designed to deal with potential biases that are encountered when implementing technology adoption equations and testing practice complementarities. In particular, we explicitly deal with the problem of simultaneous technological choices, using bivariate adoption equations. |
| Keywords: | Localized knowledge spillovers. Proximity.Technology diffusion. IT adoption. Complementary organizational practices |
| JEL: | L2 |
| Date: | 2006 |
| URL: | http://d.repec.org/n?u=RePEc:grs:wpegrs:2006-17&r=tid |
| By: | Gianfranco E. Atzeni; Oliviero A. Carboni |
| Abstract: | This paper investigates on a marked case of regional inequality concerning the information and communication technology adoption process and the role of subsidies in Italy. There is a consolidated and persistent gap between the industrialized North and the sensibly backward South. Econometric results show that adoption of ICT is affected by the geographical location, the industry and firm characteristics. A matching estimator is applied to explore subsidies effectiveness. We find that subsidies have a significant impact but only for small firms. Given the firm system in Italy, we conclude that, to limit the acceleration of Italian North-South dualism, subsidies should only be granted to small firms. |
| Keywords: | Information and Communication Technologies, Regional Disparities, Digital Divide, Subsidies, Treatment Effect, Nearest Neighbour Matching Estimator |
| JEL: | C21 D21 L2 O18 |
| Date: | 2006 |
| URL: | http://d.repec.org/n?u=RePEc:cns:cnscwp:200608&r=tid |