The EU Block Exemption and Horizontal R&D Agreements

Figures & data

Figure 1. Relative R&D levels, $\mathrm{\beta }\in (\frac{1}{3},1].$

Figure 2. Aligned and mismatced incentives.

Figure 3. Welfare-maximizing market share limit.

Figure 4. R&D performed by three firms - welfare implications, (a) $\mathrm{ }\mathrm{\gamma }>$$\frac{9}{8},$ (b) $\mathrm{\gamma }<{\displaystyle \frac{9}{8}}.$$\frac{9}{8}.$