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Effects Of Strengthening Intellectual Property Rights In Newly Industrialized Economies: Evidence From Taiwan’S 1994 Patent Reform

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  • CHIH‐HAI YANG

Abstract

Does strengthening intellectual property rights (IPR) in terms of a longer patent life induce more patents? This article investigates the responses of high‐technology firms to Taiwan’s 1994 patent reform. Empirical analyses reveal that firms’ patenting propensity rose gradually before patent reform and showed an increase after patent reform, tending to support the viewpoint that stronger IPR can induce more patents. However, this cannot lead to lasting effect. Furthermore, patenting capability can serve as the access ticket for potential entrants to a science park under the circumstance of stronger IPR protections. These new entrants are found to have a better post‐entry performance in patenting relative to the incumbents in the short run. (JEL O14, O31)

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  • Chih‐Hai Yang, 2008. "Effects Of Strengthening Intellectual Property Rights In Newly Industrialized Economies: Evidence From Taiwan’S 1994 Patent Reform," Contemporary Economic Policy, Western Economic Association International, vol. 26(2), pages 259-275, April.
    • Handle: RePEc:bla:coecpo:v:26:y:2008:i:2:p:259-275
    DOI: 10.1111/j.1465-7287.2007.00095.x
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    Cited by:

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    3. Gamba, Simona, 2017. "The Effect of Intellectual Property Rights on Domestic Innovation in the Pharmaceutical Sector," World Development, Elsevier, vol. 99(C), pages 15-27.
    4. Huang, Chia-Hui & Tsaur, Jen-Ruey & Yang, Chih-Hai, 2012. "Does world heritage list really induce more tourists? Evidence from Macau," Tourism Management, Elsevier, vol. 33(6), pages 1450-1457.

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    JEL classification:

    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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