International R&D Collaboration Networks

Upstream and downstream horizontal R&D networks

“…Our analysis here complements Song and Vannetelbosch (2007), who consider a model of international R&D collaboration among three …rms located in di¤erent countries. The authors …nd -in line with us -that stable networks do not perform well in terms of aggregate e¤ective R&D. 25 Taking the next step, the authors also show that a government policy in the form of R&D subsidies increases e¤ective R&D investment. In the present article, we …nd that, an asymmetric industry structure within a two-tier setting -a partial upstream network and a complete downstream network -produces the highest aggregate level of e¤ective R&D when it emerges as strongly stable.…”

“…Such investments, which would prevent the two parties from breaking up, are a common feature of the Japanese automobile industry, where automakers often engage in high-commitment relationships with their suppliers. 26 In this context, both parties undertake large …xed investments, such as investments 2 5 In particular, Song and Vannetelbosch (2007) demonstrate that the stable R&D networks -a complete and a partial network -generate a lower aggregate level of e¤ective R&D than the empty network. In the present setting, we also con…rm that the empty network at both market tiers outperforms the corresponding complete networks in terms of aggregate e¤ective R&D. 2 6 As Helper and Levine (1992) note, U.S. automakers have also moved progressively towards long-term rela-on ‡exible automation, information ‡ow mechanisms and quality control training (Helper and Levine, 1992).…”

R&D Networks: Theory, Empirics and Policy Implications

“…See e.g. Acemoglu et al [2012]; Bagwell and Staiger [1994]; Bloom et al [2002]; Hinloopen [2001]; Impullitti [2010]; Leahy and Neary [1997]; Qiu and Tao [1998]; Song and Vannetelbosch [2007]; Spencer and Brander [1983]. collaborations, first pioneered by Arrow [1962] and then pursued by Spence [1984].…”

Endogenous Free Trade Agreements and International R&D Networks

“…First, they contribute to the literature on R&D networks (e.g. Goyal and Moraga‐González, ; Deroian and Gannon, ; Song and Vannetelbosch, ; Zirulia, ; Marinucci, ; Kesavayuth et al, ; Tran and Zikos, ). We develop this literature by casting the analysis in an open economy where firms compete in different markets.…”