Econometrica

Journal Of The Econometric Society

An International Society for the Advancement of Economic
Theory in its Relation to Statistics and Mathematics

Edited by: Guido W. Imbens • Print ISSN: 0012-9682 • Online ISSN: 1468-0262

Econometrica: May, 1982, Volume 50, Issue 3

A Dynamic Game of R and D: Patent Protection and Competitive Behavior

https://doi.org/0012-9682(198205)50:3<671:ADGORA>2.0.CO;2-#
p. 671-688

Jennifer F. Reinganum

A theory of dynamic optimal resource allocation to R and D in an n-firm industry is developed using differential games. This technique represents a synthesis of the analytic methods previously applied to the problem: static game theory and optimal control. The use of particular functional forms allows the computation and detailed discussion of the Nash equilibrium in investment rules.


Log In To View Full Content