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Author:Baccara, M.
Razin, R.
Title:Bargaining over new ideas: the distribution of rents and the stability of innovative firms
Journal:Journal of the European Economic Association
2007 : DEC, VOL. 5:6, p. 1095-1129
Index terms:bargaining
innovation
rents
Language:eng
Abstract:A theory of the rent distribution and stability of innovative firms is developed. The theory is based on a model of bargaining over new ideas. The problem of leakage, that is the diffusion of information about new ideas among the agents that participate in the bargaining is considered in the model. The main findings draw a link between the strength of intellectual property rights enforcement and the distribution of rents in firms as well as between the size and organization of firms and their stability.
SCIMA record nr: 270011
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