Changes
Jump to navigation
Jump to search
Loury (1979) - Market Structure And Innovation (view source)
Revision as of 14:35, 17 November 2010
, 14:35, 17 November 2010→Basic Setup and Assumptions
This is directly comparable to a contest success function:
:<math>pr(\tau(x_i) \le \min(\hat{\tau_i},t)) = \underbrace{ \frac{h(x_i)}{\sum_{i=1}^{n} h(x_i)} }_{\mbox{Firm i relative effort}} \cdot \underbrace{ \left ( 1-e^{-\left(\sum_{i=1}^{n} h(x_i)\right)t}\right )}_{\mbox{Prob of innov at t}}\;</math>
===Solution concept===
