Footnote
This discussion is largely motivated by a discussion by Jack
Hirschliefer: Hirshliefer, Jack (1971), "The Private and Social Value of
Information and the Reward of Inventive Activity ," American Economic
Review v. 61, no. 4 (Sept.) pp. 561-574. Note also Loury, G C (1979), "
Market Structure and Innovation ," Quarterly Journal of Economics v. 93, pp.
395-410, Dasgupta, P. and J. E. Stiglitz (1980), " Industrial Structure and
the Nature of Innovative Activity ," Economic Journal v. 90, pp. 266-293,
DasGupta, P (1988), "Patents, Priority and Imitation: the Economics of Races
and Waiting Games ," Economic Journal v. 98, no. 393 (Mar) pp. 66-80. For a
survey of issues related to intellectual property including the horse race
conception, see Besen, S. M. and Raskind, L. J. (1991), "An Introduction to
the Law and Economics of Intellectual Property ," Journal of Economic
Perspectives v. 5, pp. 3-27.