{"id":{"repo_id":"siu-theses","oai_identifier":"oai:opensiuc.lib.siu.edu:dissertations-1536"},"canonical_url":"https://search.dev.ndltd.org/etd/siu-theses/oai:opensiuc.lib.siu.edu:dissertations-1536","repository":{"repo_id":"siu-theses","name":"Southern Illinois University","base_url":"https://opensiuc.lib.siu.edu/do/oai/"},"display":{"title":"INVESTMENTS IN PRODUCT QUALITY WITH HETEROGENEOUS FIRMS: THEORY AND EVIDENCE FROM BANGLADESH","abstract":"This dissertation investigates how competition among heterogeneous firms affects R&D in quality enhancement in a quality-ladder type framework for a Cournot oligopolistic industry. The research also analyzes the welfare implications of various policies that promotes R&D. Some of the theoretical predictions are then tested empirically using firm-level data for Bangladesh from the World Bank's enterprise survey. Chapter 1 shows that a rise in the cost of production of the competitor will induce a firm to invest more in R&D if and only if the quality difference between the existing product and the product emerging from R&D activities is sufficiently large. Also, welfare-reducing effect of helping a `minor' firm is lower in the presence of possible quality differences. Empirical results supports the theoretical findings. Chapter 2 shows that protecting domestic industry of high quality goods encourages firms to invest more in R&D. The size of the optimal tariff depends on the degree of product differentiation and market share of the foreign firms and is not necessarily positive. Chapter 3 shows that a small tariff imposed by the trading partner on the high quality good will deter R&D. However, as the tariff gets bigger, the relationship changes sign. The size of an R&D subsidy depends on the market share of the firms. Empirical results provide support to the theoretical findings.","abstract_html":"This dissertation investigates how competition among heterogeneous firms affects R&D in quality enhancement in a quality-ladder type framework for a Cournot oligopolistic industry. The research also analyzes the welfare implications of various policies that promotes R&D. Some of the theoretical predictions are then tested empirically using firm-level data for Bangladesh from the World Bank's enterprise survey. Chapter 1 shows that a rise in the cost of production of the competitor will induce a firm to invest more in R&D if and only if the quality difference between the existing product and the product emerging from R&D activities is sufficiently large. Also, welfare-reducing effect of helping a `minor' firm is lower in the presence of possible quality differences. Empirical results supports the theoretical findings. Chapter 2 shows that protecting domestic industry of high quality goods encourages firms to invest more in R&D. The size of the optimal tariff depends on the degree of product differentiation and market share of the foreign firms and is not necessarily positive. Chapter 3 shows that a small tariff imposed by the trading partner on the high quality good will deter R&D. However, as the tariff gets bigger, the relationship changes sign. The size of an R&D subsidy depends on the market share of the firms. Empirical results provide support to the theoretical findings.","abstract_has_math":false,"creators":["Ahmed, Kazi Sabbir"],"institution":null,"degree_name":"Doctor of Philosophy","degree_level":"Campus Only Dissertation","degree_discipline":"Economics","degree_department":null,"school":null,"contributors":["Lahiri, Sajal"],"advisors":[],"committee_chairs":[],"committee_members":[],"year":2012,"date_issued":"2012-08-01T07:00:00Z","date_published":"2012-08-01T07:00:00Z","updated_at":"2026-07-24T04:34:03Z","subjects":["Export","Firm Heterogeneity","Research and Development","Subsidy","Tariff","Vertical Product Differentiation"],"languages":[],"rights":[],"rights_urls":[],"identifier_entries":[]},"links":{"outbound_url":"https://opensiuc.lib.siu.edu/dissertations/535","outbound_label":"Repository record","outbound_source":"dc:identifier"},"metadata_groups":[{"id":"people","label":"People","entries":[{"key":"dc:contributor","label":"Contributor","values":["Lahiri, Sajal"]},{"key":"dc:creator","label":"Author","values":["Ahmed, Kazi Sabbir"]}]},{"id":"academic_context","label":"Academic Context","entries":[{"key":"thesis:degree_discipline","label":"Discipline","values":["Economics"]},{"key":"thesis:degree_level","label":"Degree Level","values":["Campus Only Dissertation"]},{"key":"thesis:degree_name","label":"Degree Name","values":["Doctor of Philosophy"]}]},{"id":"subjects_keywords","label":"Subjects and Keywords","entries":[{"key":"dc:subject","label":"Dc Subject","values":["Export","Firm Heterogeneity","Research and Development","Subsidy","Tariff","Vertical Product Differentiation"]}]},{"id":"identifiers","label":"Identifiers","entries":[{"key":"dc:identifier","label":"Identifier","values":["https://opensiuc.lib.siu.edu/dissertations/535"]}]},{"id":"additional","label":"Additional Metadata","entries":[{"key":"dc:description.abstract","label":"Abstract","values":["This dissertation investigates how competition among heterogeneous firms affects R&D in quality enhancement in a quality-ladder type framework for a Cournot oligopolistic industry. The research also analyzes the welfare implications of various policies that promotes R&D. Some of the theoretical predictions are then tested empirically using firm-level data for Bangladesh from the World Bank's enterprise survey. Chapter 1 shows that a rise in the cost of production of the competitor will induce a firm to invest more in R&D if and only if the quality difference between the existing product and the product emerging from R&D activities is sufficiently large. Also, welfare-reducing effect of helping a `minor' firm is lower in the presence of possible quality differences. Empirical results supports the theoretical findings. Chapter 2 shows that protecting domestic industry of high quality goods encourages firms to invest more in R&D. The size of the optimal tariff depends on the degree of product differentiation and market share of the foreign firms and is not necessarily positive. Chapter 3 shows that a small tariff imposed by the trading partner on the high quality good will deter R&D. However, as the tariff gets bigger, the relationship changes sign. The size of an R&D subsidy depends on the market share of the firms. Empirical results provide support to the theoretical findings."]},{"key":"dc:title","label":"Title","values":["INVESTMENTS IN PRODUCT QUALITY WITH HETEROGENEOUS FIRMS: THEORY AND EVIDENCE FROM BANGLADESH"]}]}],"canonical_facts":{"dc:contributor":["Lahiri, Sajal"],"dc:creator":["Ahmed, Kazi Sabbir"],"dc:description.abstract":["This dissertation investigates how competition among heterogeneous firms affects R&D in quality enhancement in a quality-ladder type framework for a Cournot oligopolistic industry. The research also analyzes the welfare implications of various policies that promotes R&D. Some of the theoretical predictions are then tested empirically using firm-level data for Bangladesh from the World Bank's enterprise survey. Chapter 1 shows that a rise in the cost of production of the competitor will induce a firm to invest more in R&D if and only if the quality difference between the existing product and the product emerging from R&D activities is sufficiently large. Also, welfare-reducing effect of helping a `minor' firm is lower in the presence of possible quality differences. Empirical results supports the theoretical findings. Chapter 2 shows that protecting domestic industry of high quality goods encourages firms to invest more in R&D. The size of the optimal tariff depends on the degree of product differentiation and market share of the foreign firms and is not necessarily positive. Chapter 3 shows that a small tariff imposed by the trading partner on the high quality good will deter R&D. However, as the tariff gets bigger, the relationship changes sign. The size of an R&D subsidy depends on the market share of the firms. Empirical results provide support to the theoretical findings."],"dc:identifier":["https://opensiuc.lib.siu.edu/dissertations/535"],"dc:subject":["Export","Firm Heterogeneity","Research and Development","Subsidy","Tariff","Vertical Product Differentiation"],"dc:title":["INVESTMENTS IN PRODUCT QUALITY WITH HETEROGENEOUS FIRMS: THEORY AND EVIDENCE FROM BANGLADESH"],"thesis:degree_discipline":["Economics"],"thesis:degree_level":["Campus Only Dissertation"],"thesis:degree_name":["Doctor of Philosophy"]},"updated_at":"2026-07-24T04:34:03Z"}