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Product development, imitation and economic growth: A note

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  • Debasis Mondal
  • Manash Ranjan Gupta

Abstract

A dynamic North�-�South general equilibrium model of international product cycle is presented in this paper. The qualitative effects of strengthening intellectual property rights (IPR) on the balanced growth rate of the world economy is studied in two alternative cases: (i) imitation is direct from North to South; (ii) multinationalization is the channel of product transfer.

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File URL: http://www.tandfonline.com/doi/abs/10.1080/09638190500523485
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Bibliographic Info

Article provided by Taylor and Francis Journals in its journal The Journal of International Trade & Economic Development.

Volume (Year): 15 (2006)
Issue (Month): 1 ()
Pages: 27-48

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Handle: RePEc:taf:jitecd:v:15:y:2006:i:1:p:27-48

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Related research

Keywords: Product variety; imitation; intellectual property rights; steady-state growth; multinational; knowledge capital; weights;

References

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  1. Grossman, G.M. & Helpman, E., 1989. "Endogemour Product Cycles," Papers 10-89, Tel Aviv.
  2. Grossman, G.M. & Helpman, E., 1989. "Endogenous Prduct Cycles," Papers 144, Princeton, Woodrow Wilson School - Public and International Affairs.
  3. Krugman, Paul, 1979. "A Model of Innovation, Technology Transfer, and the World Distribution of Income," Journal of Political Economy, University of Chicago Press, vol. 87(2), pages 253-66, April.
  4. Glass, Amy Jocelyn & Saggi, Kamal, 2001. "Innovation and wage effects of international outsourcing," European Economic Review, Elsevier, vol. 45(1), pages 67-86, January.
  5. Gene M. Grossman & Elhanan Helpman, 1991. "Quality Ladders in the Theory of Growth," NBER Working Papers 3099, National Bureau of Economic Research, Inc.
  6. Dollar, David, 1987. "Import Quotas and the Product Cycle," The Quarterly Journal of Economics, MIT Press, vol. 102(3), pages 615-32, August.
  7. Yang, Guifang & Maskus, Keith E., 2001. "Intellectual property rights, licensing, and innovation in an endogenous product-cycle model," Journal of International Economics, Elsevier, vol. 53(1), pages 169-187, February.
  8. Lai, Edwin L. -C., 1998. "International intellectual property rights protection and the rate of product innovation," Journal of Development Economics, Elsevier, vol. 55(1), pages 133-153, February.
  9. Amy Jocelyn Glass, 2004. "Outsourcing under Imperfect Protection of Intellectual Property," Review of International Economics, Wiley Blackwell, vol. 12(5), pages 867-884, November.
  10. Glass, Amy Jocelyn & Saggi, Kamal, 2002. "Intellectual property rights and foreign direct investment," Journal of International Economics, Elsevier, vol. 56(2), pages 387-410, March.
  11. Arnold, Lutz G., 2002. "On the growth effects of North-South trade: the role of labor market flexibility," Journal of International Economics, Elsevier, vol. 58(2), pages 451-466, December.
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