Should Developing Countries Strengthen their Intellectual Property Rights?
AbstractThis paper evaluates the welfare consequences of implementing intellectual property rights in developing countries. The protection of intellectual property in poor countries promises to increase world innovation, but this would not come without costs. Higher prices for consumers in that part of the world are the negative side of this policy.We present a general equilibrium model with two regions (the North and the South) to compare these two effects. Our main contribution is to show that the results will depend on the difference in economic development (represented by labor productivity) between the two regions. The South might suffer a net welfare loss if its productivity level is very low with respect to the North.
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Bibliographic InfoArticle provided by De Gruyter in its journal The B.E. Journal of Macroeconomics.
Volume (Year): 5 (2005)
Issue (Month): 1 (November)
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Web page: http://www.degruyter.com
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- Luis Angeles, 2011. "Institutions, property rights, and economic development in historical perspective," Working Papers 2011_03, Business School - Economics, University of Glasgow.
- Walter Park, 2012. "North–South models of intellectual property rights: an empirical critique," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 148(1), pages 151-180, April.
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