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Universities as a Source of Commercial Technology: A Detailed Analysis of University Patenting 1965-1988

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Author Info
Rebecca Henderson
Adam Jaffe
Manuel Trajtenberg

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Abstract

This paper explores changes in university patenting behavior between 1965 and 1988. We show that university patents have increased 15-fold while real university research spending almost tripled. The causes of this increase are unclear, but may include increased focus on commercially relevant technologies, increased industry funding of university research, a 1980 change in federal law that facilitated patenting of results from federally funded research, and the widespread creation of formal technology licensing offices at universities. Up until approximately the mid-1980s, university patents were more highly cited, and were cited by more technologically diverse patents, than a random sample of all patents. This difference is consistent with the notion that university inventions are more important and more basic than the average invention. The differences between the two groups disappeared, however, in the middle part of the 1980s, partly due to a decline in the citation rates for all universities, and partly due to an increasing share of patents going to smaller institutions, whose patents are less highly cited throughout this period. Moreover at both large and small institutions there was a large increase in the fraction of university patents receiving zero citations. Our results suggest that the rate of increase of important patents from universities is much less than the overall rate of increase of university patenting in the period covered by our data.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 5068.

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Date of creation: Mar 1999
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Publication status: published as Review of Economics and Statistics, vol. 80, no. 1, pp. 119-127, February 1 998.
Handle: RePEc:nbr:nberwo:5068

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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.:
  1. Trajtenberg, M., 1992. "Ivory Tower Versus Corporate Lab : An Empirical Study of Basic Research and Appropriability," Papers 15-92, Tel Aviv.
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  2. Basberg, Bjorn L., 1987. "Patents and the measurement of technological change: A survey of the literature," Research Policy, Elsevier, vol. 16(2-4), pages 131-141, August. [Downloadable!] (restricted)
  3. Dasgupta, Partha & David, Paul, 1985. "Information Disclosure and the Economics of Science and Technology," CEPR Discussion Papers 73, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  1. M. Conti & P. Regibeau & K. Rockett, 2003. "How Basic is (Patented) University Research? The Case of GM Crops," Economics Discussion Papers 558, University of Essex, Department of Economics. [Downloadable!]
  2. Keld Laursen & Ammon Salter, 2003. "Searching Low and High: What Types of Firms use Universities as a Source of Innovation," DRUID Working Papers 03-16, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies. [Downloadable!]
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