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Knowledge Capital, Product Differentiation and Market Structure: a Comparative Static CGE Analysis

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  • Lakatos, Csilla

Abstract

This paper concerns the analysis of knowledge capital based product differentiation in a comparative static computable general equilibrium framework. Knowledge capital is measured as the value of copyrights, trademarks and patents and it is defined as the input in production that provides the basis for product differentiation. The first part of the paper describes the econometric estimation carried out in order to introduce knowledge capital in a computable general equilibrium framework. In the second part, we develop a ChamberlinHeckscher-Ohlin type computable general equilibrium framework with monopolistic competition that explores the impacts of endowment of knowledge capital on product differentiation and comparative advantage.

Suggested Citation

  • Lakatos, Csilla, 2010. "Knowledge Capital, Product Differentiation and Market Structure: a Comparative Static CGE Analysis," Conference papers 331958, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    • Handle: RePEc:ags:pugtwp:331958
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    File URL: https://ageconsearch.umn.edu/record/331958/files/5062.pdf
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    References listed on IDEAS

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    7. Sands, Ronald & Kim, Man-Keun, 2008. "Modeling the Competition for Land: Methods and Application to Climate Policy," GTAP Working Papers 2606, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
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