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Welfare effects of patent protection and productive public services: Why do developing countries prefer weaker patent protection?

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  • Iwaisako, Tatsuro

Abstract

This paper examines the welfare-maximizing degree of patent protection in a growth model where the engines of economic growth are R&D and public services. The result shows that if public services are small, the welfare-maximizing level of patent protection is weaker.

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Bibliographic Info

Article provided by Elsevier in its journal Economics Letters.

Volume (Year): 118 (2013)
Issue (Month): 3 ()
Pages: 478-481

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Handle: RePEc:eee:ecolet:v:118:y:2013:i:3:p:478-481

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Web page: http://www.elsevier.com/locate/ecolet

Related research

Keywords: Endogenous growth; Patent protection; Public services; Welfare analysis;

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References

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  1. Hitoshi Tanaka & Tatsuro Iwaisako, 2013. "Intellectual Property Rights and Foreign Direct Investment: A Welfare Analysis," Discussion Papers in Economics and Business 13-15-Rev, Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP), revised Nov 2013.
  2. Park, Walter G., 2008. "International patent protection: 1960-2005," Research Policy, Elsevier, Elsevier, vol. 37(4), pages 761-766, May.
  3. Tatsuro Iwaisako & Koichi Futagami, 2013. "Patent protection, capital accumulation, and economic growth," Economic Theory, Springer, Springer, vol. 52(2), pages 631-668, March.
  4. Rivera-Batiz, Luis A & Romer, Paul M, 1991. "Economic Integration and Endogenous Growth," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 106(2), pages 531-55, May.
  5. Tatsuro Iwaisako & Hitoshi Tanaka & Koichi Futagami, 2009. "A Welfare Analysis of Global Patent Protection in a Model with Endogenous Innovation and Foreign Direct Investment," Discussion Papers in Economics and Business 09-24-Rev, Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP), revised Mar 2011.
  6. Barro, Robert J, 1990. "Government Spending in a Simple Model of Endogenous Growth," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 98(5), pages S103-26, October.
  7. Eicher, Theo & García-Peñalosa, Cecilia, 2008. "Endogenous strength of intellectual property rights: Implications for economic development and growth," European Economic Review, Elsevier, Elsevier, vol. 52(2), pages 237-258, February.
  8. Ryo Horii & Tatsuro Iwaisako, 2005. "Economic Growth with Imperfect Protection of Intellectual Property Rights," Development and Comp Systems 0508001, EconWPA.
  9. Gene M. Grossman & Edwin L.-C. Lai, 2004. "International Protection of Intellectual Property," American Economic Review, American Economic Association, American Economic Association, vol. 94(5), pages 1635-1653, December.
  10. Gangopadhyay, Kausik & Mondal, Debasis, 2012. "Does stronger protection of intellectual property stimulate innovation?," Economics Letters, Elsevier, Elsevier, vol. 116(1), pages 80-82.
  11. Tatsuro Iwaisako, 2012. "Welfare effects of patent protection and productive public services: why do developing countries prefer weaker patent protection?," Discussion Papers in Economics and Business 12-19, Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP).
  12. Angus C. Chu & Guido Cozzi & Silvia Galli, 2011. "Innovating Like China: a Theory of Stage-Dependent Intellectual Property Rights," Working Papers 2011_14, Durham University Business School.
  13. Chu, Angus C. & Pan, Shiyuan & Sun, Minjuan, 2012. "When does elastic labor supply cause an inverted-U effect of patents on innovation?," Economics Letters, Elsevier, Elsevier, vol. 117(1), pages 211-213.
  14. Furukawa, Yuichi, 2007. "The protection of intellectual property rights and endogenous growth: Is stronger always better?," Journal of Economic Dynamics and Control, Elsevier, Elsevier, vol. 31(11), pages 3644-3670, November.
  15. Ai-Ting Goh & Jacques Olivier, 2002. "Optimal Patent Protection in a Two-Sector Economy," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 43(4), pages 1191-1214, November.
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Citations

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Cited by:
  1. Tatsuro Iwaisako, 2012. "Welfare effects of patent protection and productive public services: why do developing countries prefer weaker patent protection?," Discussion Papers in Economics and Business 12-19, Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP).
  2. Furukawa, Yuichi, 2013. "The Struggle to Survive in the R&D Sector: Implications for Innovation and Growth," MPRA Paper 47728, University Library of Munich, Germany.

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