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Market Size And Intellectual Property Protection

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  • Michele Boldrin
  • David K. Levine

Abstract

Intellectual property (IP) protection involves a trade-off between the undesirability of monopoly and the desirable encouragement of creation and innovation. Optimal policy depends on the relative strength of these two forces. We give a quantitative assessment of current IP policies. We focus particularly on the scale of the market, showing that as it increases, due either to growth or to the expansion of trade, IP protection should be reduced. Copyright � (2009) by the Economics Department of the University of Pennsylvania and the Osaka University Institute of Social and Economic Research Association.

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Bibliographic Info

Article provided by Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association in its journal International Economic Review.

Volume (Year): 50 (2009)
Issue (Month): 3 (08)
Pages: 855-881

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Handle: RePEc:ier:iecrev:v:50:y:2009:i:3:p:855-881

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References

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  1. Blair,Roger D. & Cotter,Thomas F., 2005. "Intellectual Property," Cambridge Books, Cambridge University Press, number 9780521833165.
  2. Gene M Grossman & Edwin L Lai, 2004. "International Protection of Intellectual Property," Levine's Working Paper Archive 122247000000000442, David K. Levine.
  3. Jean Olson Lanjouw, 1993. "Patent Protection: Of What Value and for How Long?," NBER Working Papers 4475, National Bureau of Economic Research, Inc.
  4. Michele Boldrin & David K. Levine, 2004. "IER Lawrence Klein Lecture: the case against intellectual monopoly," Staff Report 339, Federal Reserve Bank of Minneapolis.
  5. Paul Romer, 1989. "Endogenous Technological Change," NBER Working Papers 3210, National Bureau of Economic Research, Inc.
  6. Boldrin, Michele & Levine, David K., 2004. "Rent-seeking and innovation," Journal of Monetary Economics, Elsevier, vol. 51(1), pages 127-160, January.
  7. Michele Boldrin & David K. Levine, 2005. "The economics of ideas and intellectual property," Staff Report 357, Federal Reserve Bank of Minneapolis.
  8. Silverberg, G. & Verspagen, B., 2004. "The size distribution of innovations revisited: an application of extreme value statistics to citation and value measures of patent significance," Eindhoven Center for Innovation Studies (ECIS) working paper series 04.17, Eindhoven Center for Innovation Studies (ECIS).
  9. Grossman, G.M. & Helpman, E., 1993. "Endogenous, Innovation in the Theory of Growth," Papers 165, Princeton, Woodrow Wilson School - Public and International Affairs.
  10. Lanjouw, Jean O & Pakes, Ariel & Putnam, Jonathan, 1998. "How to Count Patents and Value Intellectual Property: The Uses of Patent Renewal and Application Data," Journal of Industrial Economics, Wiley Blackwell, vol. 46(4), pages 405-32, December.
  11. Blair,Roger D. & Cotter,Thomas F., 2005. "Intellectual Property," Cambridge Books, Cambridge University Press, number 9780521540674.
  12. Ariel Pakes, 1986. "Patents as Options: Some Estimates of the Value of Holding European Patent Stocks," NBER Working Papers 1340, National Bureau of Economic Research, Inc.
  13. Grossman, Gene & Helpman, Elhanan, 1995. "Technology and Trade," CEPR Discussion Papers 1134, C.E.P.R. Discussion Papers.
  14. Scherer, Frederic M. & Harhoff, Dietmar & Vopel, Katrin, 1997. "Exploring the Tail of Patented Invention Value Distributions," ZEW Discussion Papers 97-30, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  15. Gene M. Grossman & Elhanan Helpman, 1990. "Trade, Knowledge Spillovers, and Growth," NBER Working Papers 3485, National Bureau of Economic Research, Inc.
  16. Jean O. Lanjouw & Ariel Pakes & Jonathan Putnam, 1996. "How to Count Patents and Value Intellectual Property: Uses of Patent Renewal and Application Data," NBER Working Papers 5741, National Bureau of Economic Research, Inc.
  17. Charles I. Jones, 2004. "Growth and Ideas," NBER Working Papers 10767, National Bureau of Economic Research, Inc.
  18. Michele Boldrin & David K. Levine, 2006. "Growth and Intellectual Property," NBER Working Papers 12769, National Bureau of Economic Research, Inc.
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Citations

Blog mentions

As found by EconAcademics.org, the blog aggregator for Economics research:
  1. Intellectual protection should be decreasing, not increasing
    by Economic Logician in Economic Logic on 2009-08-21 14:56:00
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
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Cited by:
  1. Carol McAusland & Peter J. Kuhn, 2009. "Bidding for Brains: Intellectual Property Rights and the International Migration of Knowledge Workers," NBER Working Papers 15486, National Bureau of Economic Research, Inc.
  2. Francisco Alcalá & Miguel González-Maestre, 2006. "Artistic Creation and Intellectual Property," Working Papers 0606, International Economics Institute, University of Valencia.
  3. Jin-Hyuk Kim, 2013. "A simple model of copyright levies: implications for harmonization," International Tax and Public Finance, Springer, vol. 20(6), pages 992-1013, December.
  4. Edwin L.-C. Lai, 2005. "Would global patent protection be too weak without international coordination?," Discussion Paper Series 226, Research Institute for Economics & Business Administration, Kobe University, revised Aug 2008.

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