Faulí-Oller, Ramón; Sandonís, Joel - Instituto Valenciano de Investigaciones Económicas (IVIE) - 2008
In this paper we get the optimal two-part tariff contract for the licensing of a cost reducing innovation to a differentiated goods industry of a general size. We analyze the cases where the patentee is an independent laboratory or an incumbent firm. We show that, regardless of the number of...