This paper investigates the strategic value of the managerial incentive scheme in affecting firms' incentive in R&D investment and their product market activities. Firstly, we find that in Cournot-quantity competition, owners strategically assign a non-profitmaximization objective to their managers. Consequently, managers in a delegation game invest more in cost-reducing R&D, and have higher output, ...
A new method for constructing R&D capital stocks is proposed. Following Schumpeter, the development of R&D capital stocks is modelled as a process of creative destruction. Newly generated knowledge is assumed not only to add to the existing R&D capital stocks but also, by displacing old knowledge, to destroy part of that capital. This is in stark contrast to the perpetual inventory method, which postulates ...
Nach einer längeren Stagnation in der ersten Hälfte der 90er Jahre sind die Gesamtaufwendungen der Wirtschaft für Forschung und Entwicklung (FuE) in Deutschland von 30,5 Mrd. Euro (1996) auf gut 44 Mrd. Euro (2001) um fast die Hälfte gestiegen. Der überwiegende Anteil dieser Aufwendungen entfällt auf multinationale Unternehmen, deren Produktions- und zunehmend auch Forschungsstandorte international ...