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Intellectual Property Rights, Globalization and Growth

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  • Piotr Stryszowski

    (Tilburg University)

Abstract

This paper presents a model that combines the key features of a Schumpeterian growth model without scale effects and a North-South model of trade. All open economies converge to parallel growth paths because of costly technological transfer. The effects of intellectual property rights (IPR) regimes and trade policies on the growth rate is studied, as well as on a given country's economic performance. The requirement that trade be balanced neutralizes all potential effects of the tariff policy on the world's growth rate, and on the performance of a single country. By contrast, an improvement of a given country's IPR regime is growth neutral, but improves a country's position in the world's productivity rank. These findings are illustrated by simple empirical tests.This paper won first place in the best student paper contest sponsored by IT&FA in 2006. The full paper is scheduled to appear in the December 2006 issue of the Global Economy Journal.

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Paper provided by International Trade and Finance Association in its series International Trade and Finance Association Conference Papers with number 1086.

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Date of creation: 08 Sep 2006
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Handle: RePEc:bep:itfapp:1086

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Cited by:
  1. Borota, Teodora, 2012. "Innovation and imitation in a model of North–South trade," Journal of International Economics, Elsevier, vol. 87(2), pages 365-376.
  2. Borota, Teodora, 2010. "Innovation and Imitation in a Model of North-South TradeRecent evidence on world trade patterns reveals North-South specialization across," Working Paper Series 2010:6, Uppsala University, Department of Economics.

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