Abstract
This paper analyzes the process of transition in standards between incompatible technologies when converters are available. Contrary to a common presumption that converters facilitate the transition from an old technology to an otherwise incompatible new technology, I find circumstances in which the possibility of transition is blockaded by the existence of converters. In the welfare analysis of converters, a distinction is made between ex ante and ex post efficiency effects. Finally, I also analyze the equilibrium behavior in the provision of converters and compare it to the socially optimal outcome.
| Original language | English |
|---|---|
| Pages (from-to) | 825-835 |
| Number of pages | 11 |
| Journal | International Journal of Industrial Organization |
| Volume | 14 |
| Issue number | 6 |
| DOIs | |
| Publication status | Published - 1996 Jan 1 |
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All Science Journal Classification (ASJC) codes
- Industrial relations
- Strategy and Management
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Do converters facilitate the transition to a new incompatible technology? A dynamic analysis of converters. / Choi, Jay Pil.
In: International Journal of Industrial Organization, Vol. 14, No. 6, 01.01.1996, p. 825-835.Research output: Contribution to journal › Article
TY - JOUR
T1 - Do converters facilitate the transition to a new incompatible technology? A dynamic analysis of converters
AU - Choi, Jay Pil
PY - 1996/1/1
Y1 - 1996/1/1
N2 - This paper analyzes the process of transition in standards between incompatible technologies when converters are available. Contrary to a common presumption that converters facilitate the transition from an old technology to an otherwise incompatible new technology, I find circumstances in which the possibility of transition is blockaded by the existence of converters. In the welfare analysis of converters, a distinction is made between ex ante and ex post efficiency effects. Finally, I also analyze the equilibrium behavior in the provision of converters and compare it to the socially optimal outcome.
AB - This paper analyzes the process of transition in standards between incompatible technologies when converters are available. Contrary to a common presumption that converters facilitate the transition from an old technology to an otherwise incompatible new technology, I find circumstances in which the possibility of transition is blockaded by the existence of converters. In the welfare analysis of converters, a distinction is made between ex ante and ex post efficiency effects. Finally, I also analyze the equilibrium behavior in the provision of converters and compare it to the socially optimal outcome.
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UR - http://www.scopus.com/inward/citedby.url?scp=21444441357&partnerID=8YFLogxK
U2 - 10.1016/0167-7187(96)01013-2
DO - 10.1016/0167-7187(96)01013-2
M3 - Article
AN - SCOPUS:21444441357
VL - 14
SP - 825
EP - 835
JO - International Journal of Industrial Organization
JF - International Journal of Industrial Organization
SN - 0167-7187
IS - 6
ER -