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on Technology and Industrial Dynamics |
| By: | Huber, Peter (Austrian Institute of Economic Research); Oberhofer, Harald (University of Salzburg); Pfaffermayr, Michael (University of Innsbruck) |
| Abstract: | Based on a three equations model for initial firm size, survival and firm growth we estimate firm-specific transition probabilities between size classes of the firm size distribution. This allows to analyze counterfactual scenarios that assess the impact of changes in exogenous variables on the intra-distribution dynamics of the firm size distribution. We find that a counterfactual decrease in average firm age increases the exit hazard of young firms, and at the same time reduces the probability to observe high growth firms. An increase in the industry-wide entry rate and an increase in market growth, by contrast, havw virtually no impact on the intra-distribution dynamics of the firm size distribution. Finally, a larger birth size increases the probability for the youngest and smallest firms to be fast growing ones. |
| Keywords: | Firm growth; survival; entry size; high growth firms; counterfactual scenario analysis; sample selection |
| JEL: | C24 D22 L11 L25 L26 M13 |
| Date: | 2012–04–27 |
| URL: | http://d.repec.org/n?u=RePEc:ris:sbgwpe:2012_005&r=tid |
| By: | Bastian Rake (Friedrich Schiller University Jena, Graduate College "The Economics of Innovative Change") |
| Abstract: | Recent empirical contributions emphasize the importance of (potential) market size for the development of new pharmaceuticals. At the same time many scholars point out the importance of of scientific advances for the industry's R&D activities. Against this background I analyze the relationship between (potential) market size, technological opportunities, and the number of new pharmaceuticals in the United States. Technological opportunities are operationalized as growth rates of the relevant knowledge stock as proposed by Andersen (1999, 1998). I analyze a unique dataset by using an "entry stock" Poisson quasi-maximum likelihood estimator. The results reveal a rather robust and significantly positive response of the number of new pharmaceuticals, i.e., new molecular entities or new drug approvals, to market size and technological opportunities. |
| Keywords: | Determinants of Innovation, Pharmaceuticals, Demand, Technological Opportunities |
| JEL: | O31 J10 J20 |
| Date: | 2012–05–03 |
| URL: | http://d.repec.org/n?u=RePEc:jrp:jrpwrp:2012-018&r=tid |
| By: | Rey, Patrick (TSE); Salant, David (TSE) |
| Abstract: | We examine the impact of the licensing policies of one or more upstream owners of essential intellectual property (IP hereafter) on the variety offered by a downstream industry, as well as on consumers and social welfare. When an upstream monopoly owner of essential IP increases the number of licenses, it enhances product variety, adding to consumer value, but it also intensifies downstream competition, and thus dissipates profits. As a result, the upstream IP monopoly may want to provide too many or too few licenses, relatively to what maximizes consumer surplus or social welfare. With multiple owners of essential IP, royalty stacking increases aggregate licensing fees and thus tends to limit the number of licensees, which can also reduce downstream prices for consumers. We characterize the conditions under which these reductions in downstream prices and variety is beneficial to consumers or society. |
| Keywords: | Intellectual property, licensing policy, vertical integration, patent pools. |
| JEL: | L4 L5 O3 |
| Date: | 2012–04 |
| URL: | http://d.repec.org/n?u=RePEc:ide:wpaper:25793&r=tid |