Scandinavian Working Papers in Economics

Working Papers,
Copenhagen Business School, Department of Economics

No 09-2005: Competition Policy and Innovation

Peter Møllgaard and Jo Lorentzen
Additional contact information
Peter Møllgaard: Department of Economics, Copenhagen Business School, Postal: Department of Economics, Copenhagen Business School, Solbjerg Plads 3 C, 5. sal, DK-2000 Frederiksberg, Denmark
Jo Lorentzen: Department of Economics, Copenhagen Business School, Postal: Department of Economics, Copenhagen Business School, Solbjerg Plads 3 C, 5. sal, DK-2000 Frederiksberg, Denmark

Abstract: We briefly review the rationale behind technological alliances and provide a snapshot of their role in global competition, especially insofar as it is based around intellectual capital. They nicely illustrate the increased importance of horizontal agreements and thus establish the relevance of the topic. We move on to discuss the organisation of industries in a dynamic context and draw out consequences for competition policy. We conclude with an outlook on the underlying tensions between technology alliances, competition policy, and industrial policy.

Keywords: Competition policy; innovation; alliances; industrial policy

JEL-codes: L40; L50; O31

27 pages, September 13, 2006

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