failure tolerance and a sharp guillotine helps explain when and where radical innovation occurs …

Though fundamental to innovation and essential to many industries and occupations, individual creativity has received … effects of competition on individuals' creative production. Using a sample of commercial logo design competitions, and a novel …, content-based measure of originality, I find that intensifying competition induces agents to produce original, untested ideas …

We study how competition between two downstream firms affects an upstream innovator's innovation strategy, which … upstream innovation: at low levels of competition, market-wide licensing is optimal and competition reduces innovation, while … at high levels of competition targeted licensing is optimal and competition increases innovation. Empirical analysis …

product market competition interact with the strength of patent rights. We provide empirical evidence of innovation responding … with step-by-step innovation models predicting that product market competition enhances innovation and, more importantly …, that patent protection can complement competition in inducing innovation …

beyond its traditional focus on static efficiency to account for innovation and address dynamic efficiency. Innovation can … fundamentally affect merger analysis in two ways. First, innovation can dramatically affect the relationship between the pre …-merger marketplace and what is likely to happen if a proposed merger is consummated. Thus, innovation can fundamentally influence the …

This paper investigates the relationship between product market competition (PMC) and innovation. A growth model is … competition (PMC) and innovation is an inverted U-shape. Second, the equilibrium degree of technological neck-and-neckness' among … developed in which competition may increase the incremental profit from innovating; on the other hand, competition may also …

We present a model of market competition and product differentiation in which consumers' attention is drawn to the …-commoditized" quality salient equilibria. When the cost of producing quality changes, innovation can lead to a radical change in markets. In … the context of financial innovation, the model generates the well documented phenomenon of "reaching for yield" …

-by-step innovation. Innovations result from costly R&D investments and move technology up one step. Competition is inversely measured by …In this paper, we design two laboratory experiments to analyze the causal effects of competition on step … that increased competition leads to a significant increase in R&D investments by neck-and-neck firms. Second, increased …