IDEAS home Printed from https://ideas.repec.org/a/eee/quaeco/v80y2021icp317-330.html
   My bibliography  Save this article

Culture, intellectual property rights, and technology adoption

Author

Listed:
  • Jayasekara, Dinithi N.
  • Fredriksson, Per G.

Abstract

This study explains the differences in technology adoption as a result of both culture and intellectual property rights (IPR) protection. We use data for 83 countries and 24 technologies for the time period 1980–2000. An individualistic culture, a strong IPR protection regime, and their joint effect are positively associated with technology adoption. The results hold up to a host of robustness checks.

Suggested Citation

  • Jayasekara, Dinithi N. & Fredriksson, Per G., 2021. "Culture, intellectual property rights, and technology adoption," The Quarterly Review of Economics and Finance, Elsevier, vol. 80(C), pages 317-330.
  • Handle: RePEc:eee:quaeco:v:80:y:2021:i:c:p:317-330
    DOI: 10.1016/j.qref.2021.03.007
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1062976921000521
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.qref.2021.03.007?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. John A. Norton & Frank M. Bass, 1987. "A Diffusion Theory Model of Adoption and Substitution for Successive Generations of High-Technology Products," Management Science, INFORMS, vol. 33(9), pages 1069-1086, September.
    2. Rachel Griffith & Stephen Redding & John Van Reenen, 2004. "Mapping the Two Faces of R&D: Productivity Growth in a Panel of OECD Industries," The Review of Economics and Statistics, MIT Press, vol. 86(4), pages 883-895, November.
    3. Daron Acemoglu, 2008. "Oligarchic Versus Democratic Societies," Journal of the European Economic Association, MIT Press, vol. 6(1), pages 1-44, March.
    4. Verdier, Thierry & Bisin, Alberto, 2017. "On the Joint Evolution of Culture and Institutions," CEPR Discussion Papers 12000, C.E.P.R. Discussion Papers.
    5. Nikolaos Papageorgiadis & Chengang Wang & Georgios Magkonis, . "Factors contributing to the strength of national patent protection and enforcement after TRIPS," UNCTAD Transnational Corporations Journal, United Nations Conference on Trade and Development.
    6. Matteo Cervellati & Alireza Naghavi & Farid Toubal, 2018. "Trade liberalization, democratization, and technology adoption," Journal of Economic Growth, Springer, vol. 23(2), pages 145-173, June.
    7. Acemoglu, Daron & Johnson, Simon & Robinson, James A., 2005. "Institutions as a Fundamental Cause of Long-Run Growth," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 6, pages 385-472, Elsevier.
    8. Daron Acemoglu & James A. Robinson, 2000. "Why Did the West Extend the Franchise? Democracy, Inequality, and Growth in Historical Perspective," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 115(4), pages 1167-1199.
    9. Quamrul Ashraf & Oded Galor, 2011. "Dynamics and Stagnation in the Malthusian Epoch," American Economic Review, American Economic Association, vol. 101(5), pages 2003-2041, August.
    10. Yuriy Gorodnichenko & Gerard Roland, 2017. "Culture, Institutions, and the Wealth of Nations," The Review of Economics and Statistics, MIT Press, vol. 99(3), pages 402-416, July.
    11. Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer & Robert W. Vishny, 1998. "Law and Finance," Journal of Political Economy, University of Chicago Press, vol. 106(6), pages 1113-1155, December.
    12. Diego Comin & William Easterly & Erick Gong, 2010. "Was the Wealth of Nations Determined in 1000 BC?," American Economic Journal: Macroeconomics, American Economic Association, vol. 2(3), pages 65-97, July.
    13. Guido Tabellini, 2010. "Culture and Institutions: Economic Development in the Regions of Europe," Journal of the European Economic Association, European Economic Association, vol. 8(4), pages 677-716, June.
    14. Manca, Fabio, 2010. "Technology catch-up and the role of institutions," Journal of Macroeconomics, Elsevier, vol. 32(4), pages 1041-1053, December.
    15. North, Douglass C. & Weingast, Barry R., 1989. "Constitutions and Commitment: The Evolution of Institutions Governing Public Choice in Seventeenth-Century England," The Journal of Economic History, Cambridge University Press, vol. 49(4), pages 803-832, December.
    16. Diego Comin & Bart Hobijn, 2010. "An Exploration of Technology Diffusion," American Economic Review, American Economic Association, vol. 100(5), pages 2031-2059, December.
    17. Frank M. Bass, 2004. "A New Product Growth for Model Consumer Durables," Management Science, INFORMS, vol. 50(12_supple), pages 1825-1832, December.
    18. Jeffrey D. Sachs & Andrew Warner, 1995. "Economic Reform and the Process of Global Integration," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 26(1, 25th A), pages 1-118.
    19. Rod Falvey & Neil Foster & David Greenaway, 2006. "Intellectual Property Rights and Economic Growth," Review of Development Economics, Wiley Blackwell, vol. 10(4), pages 700-719, November.
    20. Ruttan, Vernon W, 1988. "Cultural Endowments and Economic Development: What Can We Learn from Anthropology?," Economic Development and Cultural Change, University of Chicago Press, vol. 36(3), pages 247-271, Supplemen.
    21. Romain Wacziarg & Karen Horn Welch, 2008. "Trade Liberalization and Growth: New Evidence," The World Bank Economic Review, World Bank, vol. 22(2), pages 187-231, June.
    22. McCalman, Phillip, 2001. "Reaping what you sow: an empirical analysis of international patent harmonization," Journal of International Economics, Elsevier, vol. 55(1), pages 161-186, October.
    23. Smarzynska Javorcik, Beata, 2004. "The composition of foreign direct investment and protection of intellectual property rights: Evidence from transition economies," European Economic Review, Elsevier, vol. 48(1), pages 39-62, February.
    24. Luigi Guiso & Paola Sapienza & Luigi Zingales, 2006. "Does Culture Affect Economic Outcomes?," Journal of Economic Perspectives, American Economic Association, vol. 20(2), pages 23-48, Spring.
    25. Diego Comin & Martí Mestieri, 2018. "If Technology Has Arrived Everywhere, Why Has Income Diverged?," American Economic Journal: Macroeconomics, American Economic Association, vol. 10(3), pages 137-178, July.
    26. Sunil Kanwar & Robert Evenson, 2003. "Does intellectual property protection spur technological change?," Oxford Economic Papers, Oxford University Press, vol. 55(2), pages 235-264, April.
    27. Alberto Alesina & Paola Giuliano, 2015. "Culture and Institutions," Journal of Economic Literature, American Economic Association, vol. 53(4), pages 898-944, December.
    28. Lee Branstetter & Kamal Saggi, 2011. "Intellectual Property Rights, Foreign Direct Investment and Industrial Development," Economic Journal, Royal Economic Society, vol. 121(555), pages 1161-1191, September.
    29. Diego A. Comin & Bart Hobijn, 2009. "The CHAT Dataset," Harvard Business School Working Papers 10-035, Harvard Business School.
    30. Taylor, Mark Zachary & Wilson, Sean, 2012. "Does culture still matter?: The effects of individualism on national innovation rates," Journal of Business Venturing, Elsevier, vol. 27(2), pages 234-247.
    31. Keith E. Maskus, 2000. "Intellectual Property Rights in the Global Economy," Peterson Institute Press: All Books, Peterson Institute for International Economics, number 99, October.
    32. Qian, Nancy & Nunn, Nathan & Wen, Jaya, 2018. "Distrust and Political Turnover," CEPR Discussion Papers 12555, C.E.P.R. Discussion Papers.
    33. Jayasekara, Dinithi N., 2021. "Can traditional farming practices explain attitudes towards scientific progress?," Economic Modelling, Elsevier, vol. 94(C), pages 320-339.
    34. Lee G. Branstetter & Raymond Fisman & C. Fritz Foley, 2006. "Do Stronger Intellectual Property Rights Increase International Technology Transfer? Empirical Evidence from U. S. Firm-Level Panel Data," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(1), pages 321-349.
    35. Michelle Connolly & Diego Valderrama, 2005. "Implications of Intellectual Property Rights for Dynamic Gains from Trade," American Economic Review, American Economic Association, vol. 95(2), pages 318-322, May.
    36. Krammer, Sorin M.S., 2015. "Do good institutions enhance the effect of technological spillovers on productivity? Comparative evidence from developed and transition economies," Technological Forecasting and Social Change, Elsevier, vol. 94(C), pages 133-154.
    37. Yuriy Gorodnichenko & Gérard Roland, 2012. "Understanding the Individualism-Collectivism Cleavage and Its Effects: Lessons from Cultural Psychology," International Economic Association Series, in: Masahiko Aoki & Timur Kuran & Gérard Roland (ed.), Institutions and Comparative Economic Development, chapter 11, pages 213-236, Palgrave Macmillan.
    38. Philippe Aghion, 2005. "Growth and Institutions," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 32(1), pages 3-18, March.
    39. Branstetter, Lee & Fisman, Ray & Foley, C. Fritz & Saggi, Kamal, 2011. "Does intellectual property rights reform spur industrial development?," Journal of International Economics, Elsevier, vol. 83(1), pages 27-36, January.
    40. Papageorgiadis, Nikolaos & Sofka, Wolfgang, 2020. "Patent enforcement across 51 countries – Patent enforcement index 1998–2017," Journal of World Business, Elsevier, vol. 55(4).
    41. Frank M. Bass, 1969. "A New Product Growth for Model Consumer Durables," Management Science, INFORMS, vol. 15(5), pages 215-227, January.
    42. Ginarte, Juan C. & Park, Walter G., 1997. "Determinants of patent rights: A cross-national study," Research Policy, Elsevier, vol. 26(3), pages 283-301, October.
    43. Ang, James B. & Fredriksson, Per G. & Sharma, Swati, 2020. "Individualism and the adoption of clean energy technology," Resource and Energy Economics, Elsevier, vol. 61(C).
    44. Diego Comin & Bart Hobijn & Emilie Rovito, 2008. "Technology usage lags," Journal of Economic Growth, Springer, vol. 13(4), pages 237-256, December.
    45. Ang, James B. & Madsen, Jakob B., 2015. "What Drives Ideas Production Across The World?," Macroeconomic Dynamics, Cambridge University Press, vol. 19(1), pages 79-115, January.
    46. Zhu, Jiong & Ang, James B. & Fredriksson, Per G., 2019. "The agricultural roots of Chinese innovation performance," European Economic Review, Elsevier, vol. 118(C), pages 126-147.
    47. Shane, Scott A., 1992. "Why do some societies invent more than others?," Journal of Business Venturing, Elsevier, vol. 7(1), pages 29-46, January.
    48. Lai, Huiwen & Maskus, Keith E. & Yang, Lei, 2020. "Intellectual property enforcement, exports and productivity of heterogeneous firms in developing countries: Evidence from China," European Economic Review, Elsevier, vol. 123(C).
    49. Mercedes Delgado & Margaret Kyle & Anita M. McGahan, 2013. "Intellectual Property Protection and the Geography of Trade," Journal of Industrial Economics, Wiley Blackwell, vol. 61(3), pages 733-762, September.
    50. Diego A. Comin & Martí Mestieri, 2010. "An Intensive Exploration of Technology Diffusion," NBER Working Papers 16379, National Bureau of Economic Research, Inc.
    51. David S. Landes, 2006. "Why Europe and the West? Why Not China?," Journal of Economic Perspectives, American Economic Association, vol. 20(2), pages 3-22, Spring.
    52. Frank M. Bass, 2004. "Comments on "A New Product Growth for Model Consumer Durables The Bass Model"," Management Science, INFORMS, vol. 50(12_supple), pages 1833-1840, December.
    53. Shane, Scott, 1993. "Cultural influences on national rates of innovation," Journal of Business Venturing, Elsevier, vol. 8(1), pages 59-73, January.
    54. Temin, Peter, 1997. "Is it Kosher to Talk about Culture?," The Journal of Economic History, Cambridge University Press, vol. 57(2), pages 267-287, June.
    55. Per G. Fredriksson & Alexandre Sauquet, 2017. "Does legal system matter for directed technical change? Evidence from the auto industry," Applied Economics Letters, Taylor & Francis Journals, vol. 24(15), pages 1080-1083, September.
    56. Nathan Nunn & Nancy Qian & Jaya Wen, 2018. "Distrust and Political Turnover during Economic Crises," NBER Working Papers 24187, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hooks, D. & Davis, Z. & Agrawal, V. & Li, Z., 2022. "Exploring factors influencing technology adoption rate at the macro level: A predictive model," Technology in Society, Elsevier, vol. 68(C).
    2. Gheorghe Hurduzeu & Radu Lupu & Iulia Lupu & Adrian Cantemir Calin, 2022. "The Nexus Between Research and Development, Protection of Intellectual Property Rights and Financial Development. A European Perspectiv," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 24(Special16), pages 970-970, November.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. James B. Ang, 2015. "Agricultural Legacy, Individualistic Culture, and Techology Adoption," Economic Growth Centre Working Paper Series 1506, Nanyang Technological University, School of Social Sciences, Economic Growth Centre.
    2. Jayasekara, Dinithi N., 2021. "Can traditional farming practices explain attitudes towards scientific progress?," Economic Modelling, Elsevier, vol. 94(C), pages 320-339.
    3. Comin, Diego & Mestieri, Martí, 2014. "Technology Diffusion: Measurement, Causes, and Consequences," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 2, pages 565-622, Elsevier.
    4. Touré, Nouhoum, 2021. "Culture, institutions and the industrialization process," Journal of Economic Behavior & Organization, Elsevier, vol. 186(C), pages 481-503.
    5. Jamie Bologna Pavlik & Andrew T. Young, 2021. "The legacy of representation in medieval Europe for incomes and institutions today," Southern Economic Journal, John Wiley & Sons, vol. 88(1), pages 414-448, July.
    6. Lin, Jenny X. & Lincoln, William F., 2017. "Pirate's treasure," Journal of International Economics, Elsevier, vol. 109(C), pages 235-245.
    7. Zheng, Zhijie & Huang, Chien-Yu & Yang, Yibai, 2020. "Patent protection, innovation, and technology transfer in a Schumpeterian economy," European Economic Review, Elsevier, vol. 129(C).
    8. Auriol, Emmanuelle & Biancini, Sara & Paillacar, Rodrigo, 2023. "Intellectual property rights protection and trade: An empirical analysis," World Development, Elsevier, vol. 162(C).
    9. Enrico Spolaore & Romain Wacziarg, 2013. "How Deep Are the Roots of Economic Development?," Journal of Economic Literature, American Economic Association, vol. 51(2), pages 325-369, June.
    10. Ang, James B. & Fredriksson, Per G., 2018. "Culture, legal heritage and the regulation of labor," Journal of Comparative Economics, Elsevier, vol. 46(2), pages 616-633.
    11. Assmann, Daisy & Ehrl, Philipp, 2021. "Individualistic culture and entrepreneurial opportunities," Journal of Economic Behavior & Organization, Elsevier, vol. 188(C), pages 1248-1268.
    12. Jenny X. Lin & William Lincoln, 2017. "Pirate’s Treasure," Working Papers 17-51, Center for Economic Studies, U.S. Census Bureau.
    13. Pamela J. Smith & Sebastian J. Anti, 2022. "How does TRIPs compliance affect the economic growth of developing countries? Application of the Synthetic Control method," The World Economy, Wiley Blackwell, vol. 45(12), pages 3873-3906, December.
    14. Jamie Bologna Pavlik & Andrew T. Young, 2020. "Medieval European traditions in representation and state capacity today," Economics of Governance, Springer, vol. 21(2), pages 133-186, June.
    15. Pascal Gantenbein & Axel Kind & Christophe Volonté, 2019. "Individualism and Venture Capital: A Cross-Country Study," Management International Review, Springer, vol. 59(5), pages 741-777, October.
    16. Klasing, Mariko J., 2013. "Cultural dimensions, collective values and their importance for institutions," Journal of Comparative Economics, Elsevier, vol. 41(2), pages 447-467.
    17. Danai Christopoulou & Nikolaos Papageorgiadis & Chengang Wang & Georgios Magkonis, 2021. "IPR Law Protection and Enforcement and the Effect on Horizontal Productivity Spillovers from Inward FDI to Domestic Firms: A Meta-analysis," Management International Review, Springer, vol. 61(2), pages 235-266, April.
    18. Nabokin, Tatjana, 2014. "Global Investment Decisions and Patent Protection: Evidence from German Multinationals," Discussion Papers in Economics 21266, University of Munich, Department of Economics.
    19. Alimov, Azizjon & Officer, Micah S., 2017. "Intellectual property rights and cross-border mergers and acquisitions," Journal of Corporate Finance, Elsevier, vol. 45(C), pages 360-377.
    20. Anja, Breitwieser & Neil, Foster, 2012. "Intellectual property rights, innovation and technology transfer: a survey," MPRA Paper 36094, University Library of Munich, Germany.

    More about this item

    Keywords

    Technology adoption; Culture; Individualism; Collectivism; Intellectual property rights;
    All these keywords.

    JEL classification:

    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • Z1 - Other Special Topics - - Cultural Economics
    • P48 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Legal Institutions; Property Rights; Natural Resources; Energy; Environment; Regional Studies

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:quaeco:v:80:y:2021:i:c:p:317-330. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/620167 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.