Arbeitspapier

Technology lock-in with horizontal and vertical innovations through limited R&D spending

In this paper we analyze an inter-temporal optimization problem of a representative firm that invests in horizontal and vertical innovations and that faces a constraint with respect to total R&D spending. We find that there can exist two different steady-states of the economy when the amount of research spending falls short of an endogenously determined threshold: one with higher productivities and less new technologies being developed, and the other with more technoligies being created and lower productivities. But, for a higher amount of R&D spending the steady-state becomes unique and the firm produces the whole spectrum of available technologies. Thus, a lock-in effect may arise that, however, can be overcome by raising R&D spending sufficiently.

Sprache
Englisch

Erschienen in
Series: WWZ Working Paper ; No. 2017/04

Klassifikation
Wirtschaft
Optimization Techniques; Programming Models; Dynamic Analysis
Management of Technological Innovation and R&D
Thema
multiple steady-states
lock-in
innovations
R&D constraint
optimal control

Ereignis
Geistige Schöpfung
(wer)
Bondarev, Anton
Greiner, Alfred
Ereignis
Veröffentlichung
(wer)
University of Basel, Center of Business and Economics (WWZ)
(wo)
Basel
(wann)
2017

DOI
doi:10.5451/unibas-ep61313
Handle
Letzte Aktualisierung
20.09.2024, 08:21 MESZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Bondarev, Anton
  • Greiner, Alfred
  • University of Basel, Center of Business and Economics (WWZ)

Entstanden

  • 2017

Ähnliche Objekte (12)