Essays on durable goods consumption and firm innovation

This dissertation comprises three individual chapters. Chapter Two examines how free riding across neighbors influenced the diffusion of color television sets in rural China. Chapter Three tests for asymmetric information between a firm’s management and other investors concerning its patent output. Chapter Four discusses how knowledge stocks influence a patenting firm’s later diversification. Chapter Two documents the existence of a type of network effects—free riding across neighbors—in the consumption of color television sets in rural China, which reduces the propensity of non-owners to purchase. I construct a model of the timing of the purchase of a durable good in the presence of free riding, and test its key implications using household survey data in rural China. Chapter Three tests for asymmetric information between a firm’s management and other investors about its patent output by examining insider trading patterns and stock price changes in R&D intensive firms. It demonstrates that management has considerable information about its patent output beyond what is known to investors. It also shows that the predictive power of insider trading patterns on patent output comes from purchases rather than sales. Chapter Four discusses two sequential channels through which knowledge stocks may influence a firm’s later diversification. One is that firms with more knowledge are more likely to enter a new industry. The other is that firms’ businesses have a better chance of surviving, conditional on being formed. By examining U.S. public patenting firms in manufacturing sectors for 1984-1996, I find that knowledge stocks predict the likelihood of new industry entry when controlling for firm size. However, this predictive power is weakened when diversification effects are included. On the other hand, a survival study of newly established segments shows that initial knowledge stocks have significant positive effects on segment survival, whereas diversification effects are insignificant.

Alternatives to steel grid bridge decks

Most of the moveable bridges use open grid steel decks, because these are factory assembled, light-weight, and easy to install. Open grid steel decks, however, are not as skid resistant as solid decks. Costly maintenance, high noise levels, poor riding comfort and susceptibility to vibrations are among the other disadvantages of these decks. The major objective of this research was to develop alternative deck systems which weigh no more than 25 lb/ft2, have solid riding surface, are no more than 4–5 in. thick and are able to withstand prescribed loading. Three deck systems were considered in this study: ultra-high performance concrete (UHPC) deck, aluminum deck and UHPC-fiber reinforced polymer (FRP) tube deck. UHPC deck was the first alternative system developed as a part of this project. Due to its ultra high strength, this type of concrete results in thinner sections, which helps satisfy the strict self-weight limit. A comprehensive experimental and analytical evaluation of the system was carried out to establish its suitability. Both single and multi-unit specimens with one or two spans were tested for static and dynamic loading. Finite element models were developed to predict the deck behavior. The study led to the conclusion that the UHPC bridge deck is a feasible alternative to open grid steel deck. Aluminum deck was the second alternative system studied in this project. A detailed experimental and analytical evaluation of the system was carried out. The experimental work included static and dynamic loading on the deck panels and connections. Analytical work included detailed finite element modeling. Based on the in-depth experimental and analytical evaluations, it was concluded that aluminum deck was a suitable alternative to open grid steel decks and is ready for implementation. UHPC-FRP tube deck was the third system developed in this research. Prestressed hollow core decks are commonly used, but the proposed type of steel-free deck is quite novel. Preliminary experimental evaluations of two simple-span specimens, one with uniform section and the other with tapered section were carried out. The system was shown to have good promise to replace the conventional open grid decks. Additional work, however, is needed before the system is recommended for field application.