Objective In open source software development, unlike the private investment model, open source innovators freely share the source code to use and modify it. Although the source code of open-source software is freely available, open-source softwares are subject to very precise licensing agreements. Among the most common licenses are the General Public License (GPL) and the European Union Public License (EUPL). In this project, we will study the economics of innovation through open source development. We will provide a concrete theoretical framework to analyze the dynamics of open source innovation directly incorporating the properties of the licensing agreements it is subject to. We will answer the following set of questions: (1) When there is an open source available, how do the innovators act? Do they tend to use the open source under the given license, or choose to stay out of the open source community? Are there any social welfare gains of having an open source relative to private investment model? (2) How does the competition between an open source production, say Linux operating system and a private investment production, say Microsoft, work? What are the effects of such a competition on the open source production and on the social welfare? Can open source production overthrow the proprietary production? Should the open source production be subsidized?There are three important reasons to carry out the proposed project. First, the open source production is clearly a rapidly growing phenomenon. Second, because of its public good nature, open source production has a close connection to the theory of private provision of public good, hence to the famous free-riding problem in economics. Finally, the European Union highly values open source software and its applications. The European Commission published a number of strategies regarding the open source softwares during the period 2000-2010, and formally approved the EUPL by 2009, which is considered a major achievement. Fields of science natural sciencescomputer and information sciencessoftwaresoftware applicationssystem softwareoperating systemssocial scienceseconomics and businessbusiness and managementinnovation managementsocial scienceseconomics and businesseconomicsnatural sciencescomputer and information sciencessoftwaresoftware development Programme(s) FP7-PEOPLE - Specific programme "People" implementing the Seventh Framework Programme of the European Community for research, technological development and demonstration activities (2007 to 2013) Topic(s) FP7-PEOPLE-2011-CIG - Marie-Curie Action: "Career Integration Grants" Call for proposal FP7-PEOPLE-2011-CIG See other projects for this call Funding Scheme MC-CIG - Support for training and career development of researcher (CIG) Coordinator BOGAZICI UNIVERSITESI Address Bebek 34342 Istanbul Türkiye See on map Region İstanbul İstanbul İstanbul Activity type Higher or Secondary Education Establishments Administrative Contact Murat Akman (Mr.) Links Contact the organisation Opens in new window Website Opens in new window EU contribution No data