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Effects of Copyrights on Science - Evidence from the US Book Republication Program

Author

Listed:
  • Barbara Biasi
  • Petra Moser

Abstract

Copyrights for books, news, and other types of media are a critical mechanism to encourage creativity and innovation. Yet economic analyses continue to be rare, partly due to a lack of experimental variation in modern copyright laws. This paper exploits a change in copyright laws as a result of World War II to examine the effects of copyrights on science. In 1943, the US Book Republication Program (BRP) granted US publishers temporary licenses to republish the exact content of German-owned science books. Using new data on citations, we find that this program triggered a large increase in citations to German-owned science books. This increase was driven by a significant reduction in access costs: Each 10 percent decline in the price of BRP book was associated with a 43 percent increase in citations. To investigate the mechanism by which lower book prices influence science, we collect data on library holdings across the United States. We find that lower prices helped to distribute BRP books across US libraries, including less affluent institutions. Analyses of the locations of citing authors further indicate that citations increased most for locations that gained access to BRP books. Results are confirmed by two alternative measures of scientific output: new PhDs and US patents that use knowledge in BRP books.

Suggested Citation

  • Barbara Biasi & Petra Moser, 2018. "Effects of Copyrights on Science - Evidence from the US Book Republication Program," NBER Working Papers 24255, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:24255
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    Citations

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    Cited by:

    1. Julia Cage & Nicolas Hervé & Marie-Luce Viaud, 2017. "The Production of Information in an Online World: Is Copy Right?," Working Papers hal-03393171, HAL.
    2. Julia Cage & Nicolas Hervé & Marie-Luce Viaud, 2017. "The Production of Information in an Online World: Is Copy Right?," Working Papers hal-03393171, HAL.
    3. repec:hal:wpspec:info:hdl:2441/3tcpvf3sd399op9sgtn8tq5bhd is not listed on IDEAS
    4. Julia Cagé & Nicolas Hervé & Marie-Luce Viaud, 2020. "The Production of Information in an Online World," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 87(5), pages 2126-2164.
    5. Alexander Cuntz & Matthias Sahli, 2024. "Intermediary liability and trade in follow-on innovation," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 48(1), pages 1-42, March.
    6. Imke Reimers, 2019. "Copyright and Generic Entry in Book Publishing," American Economic Journal: Microeconomics, American Economic Association, vol. 11(3), pages 257-284, August.
    7. Jeffrey L. Furman & Markus Nagler & Martin Watzinger, 2021. "Disclosure and Subsequent Innovation: Evidence from the Patent Depository Library Program," American Economic Journal: Economic Policy, American Economic Association, vol. 13(4), pages 239-270, November.
    8. Enrico Berkes & Peter Nencka, 2019. "‘Novel’ Ideas: The Effects of Carnegie Libraries on Innovative Activities," 2019 Meeting Papers 1315, Society for Economic Dynamics.
    9. March, Raymond J. & Geloso, Vincent, 2020. "Gordon Tullock meets Phineas Gage: The political economy of lobotomies in the United States," Research Policy, Elsevier, vol. 49(1).
    10. repec:hal:spmain:info:hdl:2441/1ikqf7qv0m8h7q6lmc4ng73ueq is not listed on IDEAS
    11. repec:hal:spmain:info:hdl:2441/38tbdqmgvf8f9amamb132hea9b is not listed on IDEAS
    12. repec:hal:spmain:info:hdl:2441/52cps7rdns8iv8fr3f1kqm7iuv is not listed on IDEAS
    13. Jonathan P. Tennant & Harry Crane & Tom Crick & Jacinto Davila & Asura Enkhbayar & Johanna Havemann & Bianca Kramer & Ryan Martin & Paola Masuzzo & Andy Nobes & Curt Rice & Bárbara Rivera-López & Tony, 2019. "Ten Hot Topics around Scholarly Publishing," Publications, MDPI, vol. 7(2), pages 1-24, May.
    14. repec:hal:spmain:info:hdl:2441/3tcpvf3sd399op9sgtn8tq5bhd is not listed on IDEAS
    15. Skliaustyte, Egle & Weber, Matthias, 2021. "Subsidies or Tax Breaks Versus Intellectual Property Rights: Dual Markets," SocArXiv x87fy, Center for Open Science.

    More about this item

    JEL classification:

    • L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media
    • N34 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Europe: 1913-
    • N42 - Economic History - - Government, War, Law, International Relations, and Regulation - - - U.S.; Canada: 1913-
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth

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