I uncover a new force towards increasing dominance. The new effect results from the strategic choice of covariance in races. I assume that players must choose not the amount of resources to spend but how to allocate those resources. I show that the laggard has an incentive to chose a different...

Research joint ventures may coordinate research investments or improve research sharing. When research joint venture partners only share R&D results, large consortia are more profitable than small ones, and joint ventures prefer their rivals dispersed. According to a coalition formation game, an...

This paper considers irreversible investment in competing research projects with uncertain returns under a winner-takes-all patent system. Uncertainty takes two distinct forms: the technological success of the project is probabilistic, while the economic value of the patent to be won evolves...