In a perfectly competitive market with a possibility of technological innovation we contrast guaranteed feed-in tariffs …. Specifically, we model decisions about the technological innovation with convex costs within the framework of a game …-commitment. We find that for the case of technological innovation with convex costs subsidy policies are preferable over quota …

analyzes a model of North-South trade and endogenous growth through innovation and imitation that can predict the observed … both the innovation in the North and the imitational lag of the South. Opening to trade increases the growth rate and …