Research Inbox

our research, direct to your inbox.

    Slide Deck–American Innovation Under Threat: Restrictive Legislation and Global Competition
    November 18, 2021

    Slide Deck–American Innovation Under Threat: Restrictive Legislation and Global Competition

    Antitrust regulations that reduce commercial scale and product scope weaken incentives for corporate research and undermine the ability to innovate.

    BY Ashish Arora and Sharon Belenzon

    November 18, 2021

    Outline

    Slide Deck–American Innovation Under Threat: Restrictive Legislation and Global Competition

    Slide Deck–American Innovation Under Threat: Restrictive Legislation and Global Competition

    Antitrust regulations that reduce commercial scale and product scope weaken incentives for corporate research and undermine the ability to innovate.

    Editor’s Note: A report to accompany this slide deck was published in May 2022, titled “American Science and Technology Leadership Under Threat: Restrictive Antitrust Legislation and Growing Global Competition”. You can find the report here.

    Summary

    A package of antitrust legislation recently introduced in Congress aims to improve competition in the U.S. technology sector. The proposed provisions in these bills would limit digital platforms’ ability to integrate product features, promote new products, or even compete in new market segments.

    We conclude that such restrictions will harm U.S. scientific and technological leadership, hurting U.S. competitiveness and living standards.

    Antitrust regulations that reduces commercial scale and product scope weaken incentives for corporate research and undermine the ability to innovate.

    We highlight how these limitations may affect American scientific and technological leadership in the world. We also consider the role of information technology firms in advancing U.S. technology, the foreign competition they face, and the fragile nature of the U.S. innovation ecosystem.

    You can download and view the entire slide deck here.