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We argue that the intrinsic inefficiency of proprietary software has historically created a space for alternative … institutions that provide software as a public good. We discuss several sources of such inefficiency, focusing on one that has not … software must make complementary investments, when the return on such investments depends on future cooperation of the software …
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explore these hypotheses by examining problem solving attempts performed by 135 participants in an open source software … project on the 719 problems (software bugs) recorded during a complete release cycle of the software. Our empirical strategy …
Persistent link: https://www.econbiz.de/10010776781
distinct systems for software development. The model shows that: (a) for low design costs of modularity, both open- and closed … software; and (c) production efficiency is not a necessary condition for the stochastic stability of a system to obtain. These … three results can shed light on the emergence of organizational diversity in the software industry. The paper adds to the …
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I provide a justification of intellectual property rights as a source of static efficiency gains in manufacturing, rather than dynamic benefits from greater innovation. I develop a property-rights model of a supply relationship with two dimensions of non- contractible investment. In equilibrium,...
Persistent link: https://www.econbiz.de/10011084191
Drawing insights from the field of innovation economics, we discuss the likely competitive environment shaping generative AI advances. Central to our analysis are the concepts of appropriability--whether firms in the industry are able to control the knowledge generated by their innovations--and...
Persistent link: https://www.econbiz.de/10014544752
We analyze how network effects affect competition in the nascent cryptocurrency market. We do so by examining the changes over time in exchange rate data among cryptocurrencies. Specifically, we look at two aspects: (1) competition among different currencies, and (2) competition among exchanges...
Persistent link: https://www.econbiz.de/10011084460
To stay on top of global competition, firms and governments often need to acquire innovative goods and services, including ideas and research, from their strategic suppliers. A careful design of procurement policy is crucial to make potential suppliers generate and sell the most suitable...
Persistent link: https://www.econbiz.de/10005791875