Abstract
Invention is here interpreted broadly as the production of knowledge. From the viewpoint of welfare economics, the determination of optimal resource allocation for invention will depend on the technological characteristics of the invention process and the nature of the market for knowledge.
I have benefited greatly from the comments of my colleague, William Capron. I am also indebted to Richard R. Nelson, Edward Phelps, and Sidney Winter of the RAND Corporation for their helpful discussion.
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© 1972 Macmillan Publishers Limited
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Arrow, K.J. (1972). Economic Welfare and the Allocation of Resources for Invention. In: Rowley, C.K. (eds) Readings in Industrial Economics. Palgrave, London. https://doi.org/10.1007/978-1-349-15486-9_13
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DOI: https://doi.org/10.1007/978-1-349-15486-9_13
Publisher Name: Palgrave, London
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