Logo Logo
Hilfe
Hilfe
Switch Language to English

Schmidtke, Richard (Juni 2006): Private Provision of a Complementary Public Good. SFB/TR 15 Discussion Paper No. 134 [PDF, 341kB]

[thumbnail of 134.pdf]
Vorschau
Download (341kB)

Abstract

For several years, an increasing number of firms are investing in Open Source Software (OSS). While improvements in such a non-excludable public good cannot be appropriated, companies can benefit indirectly in a complementary proprietary segment. We study this incentive for investment in OSS. In particular we ask how (1) market entry and (2) public investments in the public good affects the firms' production and profits. Surprisingly, we find that there exist cases where incumbents benefit from market entry. Moreover, we show the counter-intuitive result that public spending does not necessarily lead to a decreasing voluntary private contribution.

Dokument bearbeiten Dokument bearbeiten