Footnote:
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Description:
Allowing firms to cooperate in their R&D is an industrial policy, which has received much attention in recent economics literature. Many of these contributions are based on the seminal analysis of d'Aspremont and Jacquemin (1988). We provide a general version of their model, which encompasses several recent contributions in the literature. With this general model we then examine the main arguments against and in favour of sustaining R&D cooperatives.