Perfectly Competitive Innovation |
Common terms and phrases
absence allocated argue assume assumption asymptotically auction bind Boldrin capital of quality capital stock commodities competitive equilibrium competitive innovations competitive market constant returns consumers conventional wisdom copies cost of reproduction decreasing depreciated old capital Discussion Papers downstream licensing Email embodied entrepreneurs example first-order condition fixed cost fixed factor government enforced monopoly grants of monopoly ideas increasing returns initial inno innovation and growth innovation chains innovation takes place innovative activity investment legal monopoly licensing provisions marginal monopolistic competition monopoly power monopoly rights Napster nonrivalrous Notice optimal output past the post patent law Paul Klemperer perfect competition period positive theory previous section problem qualities of capital quality capital reproduced and distributed returns to scale Romer Scotchmer 1991 socially desirable innovations Subscription sumer sunk cost superstars technological change technological innovation technology set Technology Shocks tion unit of capital unit of consumption utility function vation zero