Arbeitspapier
Private Provision of a Complementary Public Good
For several years, an increasing number of firms are investing in Open Source Software (OSS). While improvements in such a non- excludable public good cannot be appropriated, companies can benefit indirectly in a complementary proprietary segment. We study this incentive for investment in OSS. In particular we ask how (1) market entry and (2) public investments in the public good affects the firms' production and profits. Surprisingly, we find that there exist cases where incumbents benefit from market entry. Moreover, we show the counter-intuitive result that public spending does not necessarily lead to a decreasing voluntary private contribution.
- Language
-
Englisch
- Bibliographic citation
-
Series: BGPE Discussion Paper ; No. 4
- Classification
-
Wirtschaft
Noncooperative Games
Oligopoly and Other Imperfect Markets
Information and Internet Services; Computer Software
- Subject
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Open Source Software
Private Provision of Public Goods
Cournot- Nash Equilibrium
Complements
Market Entry
- Event
-
Geistige Schöpfung
- (who)
-
Schmidtke, Richard
- Event
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Veröffentlichung
- (who)
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Friedrich-Alexander-Universität Erlangen-Nürnberg, Bavarian Graduate Program in Economics (BGPE)
- (where)
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Nürnberg
- (when)
-
2006
- Handle
- Last update
-
10.03.2025, 11:46 AM CET
Data provider
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ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Schmidtke, Richard
- Friedrich-Alexander-Universität Erlangen-Nürnberg, Bavarian Graduate Program in Economics (BGPE)
Time of origin
- 2006
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