Social insurance and the design of innovation incentives
Abstract
We consider the insurance aspects of research policy. Patents or rewards have an advantage over research subsidies when a new invention replaces an existing good at lower cost. Research subsidies have an advantage when inventions spawn an entirely new product.
Suggested Citation
Darius Noshir Lakdawalla and Neeraj Sood, "Social insurance and the design of innovation incentives" Economics Letters Vol. 85: 57-61 (2004) Available at: http://works.bepress.com/darius_lakdawalla/15
Journal Website: http://www.elsevier.com/wps/find/journaldescription.cws_home/505574/description#description