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dc.contributor.authorKaiser, Ulrichen_US
dc.description.abstractThis paper derives a three stage Cournot duopoly game for researchcollaboration, research expenditures and product market competition. Theamount of knowledge firms can absorb from other firms is made dependent ontheir own research efforts, e.g., firms? absorptive capacity is treated as an endogenousvariable. It is shown that cooperating firms invest more in R&D thannon?cooperating firms if spillovers are sufficiently large. Further, market demand and R&D productivity have a positive effect on R&D efforts both under research joint venture and under research competition. Firms? propensity to collaborate in R&D is increasing in R&D productivity.The key findings of the theoretical model are tested using German innovationsurvey data for the service sector. A simultaneous model for cooperation choiceand innovation expenditures shows that R&D cooperation has a weakly significantpositive effect on innovation expenditures. The empirical results broadlysupport the theoretical model.en_US
dc.publisher|aZentrum für Europäische Wirtschaftsforschung (ZEW) |cMannheimen_US
dc.relation.ispartofseries|aZEW Discussion Papers |x00-25en_US
dc.subject.keywordresearch cooperationen_US
dc.subject.keywordresearch expendituresen_US
dc.subject.keywordknowledge spilloversen_US
dc.subject.keywordsimultaneous equation modelen_US
dc.titleResearch Cooperation and Research Expenditures with Endogenous Absorptive Capacity: Theory and Microeconometric Evidence for the German Service Sectoren_US
dc.typeWorking Paperen_US

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