Loughborough University. Department of Economics. Discussion Paper Series;WP 2006 - 22
We introduce R&D activity and R&D subsidies in the context of a mixed oligopoly and evaluate the effects of privatization on welfare. We show that when R&D subsidies are employed, privatization is welfare and R&D promoting provided that the number of competitors is sufficiently large.
This is a working paper. It is also available at: http://ideas.repec.org/p/lbo/lbowps/2006_25.html