ENDOGENOUS LEARNING, LEARNING BY DOING AND INFORMATION SHARING

Using the work in experimentation I endogenize the, until now, exogeno us information in information sharing models. I find that agreements t o exchange information affect the Value and production of information. With unknown cost, a learning-by-doing like effect also arises. These effects affect consumer welfare, the incentive ro receive information , and the incentive to enter information sharing agreements. Informati on sharing contracts may have negative future effects on firms through decreased information production. However, the decreased information production has the current benefit of softening competition, which ind uces information sharing agreements under conditions contrary to previ ous results and vice versa.