This paper investigates the R&D accumulation and pricing strategies of two firms competing for consumer demand in a dynamic framework. A firm’s R&D is production cost-reducing and can benefit from part of the rival firm’s R&D stock without payment. We consider decisions that follow from symmetric, non-cooperative equilibria, that is, Nash equilibria. Link to the article
EL OUARDIGHI, F., SHNAIDERMAN, M. and PASIN, F. (2014). Research and Development with Stock-Dependent Spillovers and Price Competition in a Duopoly. Journal of Optimization Theory and Applications, 161(2), pp. 626-647.