Advanced Search
MyIDEAS: Login to save this paper or follow this series

Determinants of the United States’ trade of pharmaceuticals

Contents:

Author Info

  • Boring, Anne
Registered author(s):

    Abstract

    The United States spearheaded the movement for the globalization of patent protection. Over the past years, it has been pushing for the protection of strong intellectual property rights in multilateral and bilateral agreements, treaties and negotiations. The pharmaceutical industry insists that foreign patent protection should not be a barrier to access to pharmaceuticals in developing countries and should increase trade. The industry argues that other factors are necessary for poor countries to have access to drugs, such as adequate infrastructure and political will. Has foreign patent protection increased the United States’ trade of pharmaceuticals? A gravity model using panel data from 1993 to 2007 shows that foreign patent protection is not a strong determinant of the United States imports and exports of pharmaceuticals. An OLS estimation, a Tobit estimation and a zero-inflated negative binomial estimation show that other factors are more important determinants of trade, such as the health care system, government expenditure on health and the quality of infrastructures. The United States’ President’s Emergency Plan For AIDS Relief is also a significant determinant of the country’s pharmaceutical exports. The only significant increase in U.S. imports linked to foreign patents concerns Asian countries that have implemented strong protection.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://basepub.dauphine.fr/xmlui/bitstream/123456789/4340/2/determinants_USA.PDF
    Download Restriction: no

    Bibliographic Info

    Paper provided by Paris Dauphine University in its series Economics Papers from University Paris Dauphine with number 123456789/4340.

    as in new window
    Length:
    Date of creation: Sep 2010
    Date of revision:
    Handle: RePEc:dau:papers:123456789/4340

    Contact details of provider:
    Web page: http://www.dauphine.fr/en/welcome.html
    More information through EDIRC

    Related research

    Keywords: Pharmaceuticals; Industrie pharmaceutique; trade agreements; foreign patents;

    Find related papers by JEL classification:

    References

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
    as in new window
    1. Smith, Pamela J., 2001. "How do foreign patent rights affect U.S. exports, affiliate sales, and licenses?," Journal of International Economics, Elsevier, Elsevier, vol. 55(2), pages 411-439, December.
    2. Ivus, Olena, 2010. "Do stronger patent rights raise high-tech exports to the developing world?," Journal of International Economics, Elsevier, Elsevier, vol. 81(1), pages 38-47, May.
    3. Yang, Lei & Maskus, Keith E., 2009. "Intellectual property rights, technology transfer and exports in developing countries," Journal of Development Economics, Elsevier, Elsevier, vol. 90(2), pages 231-236, November.
    4. Joao Santos Silva & Silvana Tenreyro, 2005. "The Log of Gravity," CEP Discussion Papers dp0701, Centre for Economic Performance, LSE.
    5. Shubham Chaudhuri & Pinelopi K. Goldberg & Panle Jia, 2003. "Estimating the Effects of Global Patent Protection in Pharmaceuticals: A Case Study of Quinolones in India," NBER Working Papers 10159, National Bureau of Economic Research, Inc.
    6. Ronald B. Davies & Helga Kristjánsdóttir, 2010. "Fixed Costs, Foreign Direct Investment, and Gravity with Zeros," Review of International Economics, Wiley Blackwell, vol. 18(1), pages 47-62, 02.
    7. Rios-Morales, Ruth & Brennan, Louis, 2009. "Ireland's innovative governmental policies promoting internationalisation," Research in International Business and Finance, Elsevier, Elsevier, vol. 23(2), pages 157-168, June.
    8. Maskus, Keith E. & Penubarti, Mohan, 1995. "How trade-related are intellectual property rights?," Journal of International Economics, Elsevier, Elsevier, vol. 39(3-4), pages 227-248, November.
    9. Jaya Prakash Pradhan, 2007. "Strengthening Intellectual Property Rights Globally: Impact On India'S Pharmaceutical Exports," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 52(02), pages 233-250.
    10. Olper, Alessandro & Raimondi, Valentina, 2008. "Agricultural market integration in the OECD: A gravity-border effect approach," Food Policy, Elsevier, Elsevier, vol. 33(2), pages 165-175, April.
    11. Juan S. Blyde, 2006. "Assessing the impacts of intellectual property rights on trade flows in Latin America," INTAL Working Papers, Inter-American Development Bank, INTAL 1274, Inter-American Development Bank, INTAL.
    12. Lai, Edwin L. -C. & Qiu, Larry D., 2003. "The North's intellectual property rights standard for the South?," Journal of International Economics, Elsevier, Elsevier, vol. 59(1), pages 183-209, January.
    13. Jagdish N. Bhagwati, 2004. "In Defense of Globalization: It Has a Human Face," Rivista di Politica Economica, SIPI Spa, SIPI Spa, vol. 94(6), pages 9-20, November-.
    14. Priya Ranjan & Jae Young Lee, 2007. "Contract Enforcement And International Trade," Economics and Politics, Wiley Blackwell, Wiley Blackwell, vol. 19(2), pages 191-218, 07.
    Full references (including those not matched with items on IDEAS)

    Citations

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:dau:papers:123456789/4340. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Alexandre Faure).

    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 references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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