Incentives for research cooperation in R&D race

기술개발의 경주적 특성과 공동연구개발 유인에 관한 연구

R&D payoffs guaranteed by the patent law are offered to the very firm that succeeds in R&D for the first time. This paper shows how the interpretation of R&D as a race affects a firm's preferences over cooperative R&D. Introducing the aspect of a race into R&D, cooperative R&D yields more profit than non-cooperative R&D in cases where R&D has a relatively low hazard rate. This result contrasts well with previous result obtained without considering the aspect of R&D race.