Applying economic analysis, we explore the potential benefits and risks associated with firm-based and social production models and derive conditions that determine when open or closed innovation models are more appropriate. We contrast the newly emerging "user-generated approach" to innovation...

Are efficiency improvements in the use of natural resources the key for sustainable development, are they the solution to environmental problems, or will second round effects - so-called rebound effects - compensate or even overcompensate potential savings, will they fire back? The answer to...

Are efficiency improvements in the use of natural resources the key for sustainable development, are they the solution to environmental problems, or will second round effects –so-called rebound effects- compensate or even overcompensate potential savings, will they fire back? The answer to...

When an investment is in goodwill, a divisional performance measurement based on residual income is subject to what is included in assets, as IFRS requires.Especially in case the project may be shut down on its way, investment base for the calculation of residual income measures is dependent of...

We present a dynamic model in which an employee of a firm searches for business projects in a changing environment. It is costly to induce the employee who found a successful project in the past period to search for a new project. Past success can therefore result in profitreducing corporate...

This study was prepared by Nadine Fabritz while she was working at the Ifo Institute for Economic Research in the Department for Human Capital and Innovation. It was completed in June 2014 and accepted as a doctoral thesis by the Department of Economics at the University of Munich in October...

This paper addresses the role of product liability for the emergence and development of smart products such as autonomous vehicles (AVs). We analyze how the liability regime affects innovative activities, as well as the timing of market introduction and market penetration of such smart products....

We investigate the relationship between competition and innovation using a dynamic oligopoly model that endogenizes both the long-run innovation rate and market structure. We use the model to examine how various determinants of competition, such as product substitutability, entry costs, and...