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A New Exploration of Optimal IPR Protection and International Policy Cooperation

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  • Dai, Darong
  • Shen, Kunrong
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    Abstract

    In this paper, a variety-expanding growth model has been constructed in the classical North-South framework. Optimal degree of IPR protection has been explicitly computed both for the North and the South in the sense of welfare maximizing, in the short run and non-short run of the economies. Endogenous innovation growth rate and the policy of innovation subsidy for the Southern government have been introduced into our model. The relationship between IPR protection and long-term growth rate has also been thoroughly investigated. Finally, the issue about international policy cooperation has been explored and we show that it is possible that an optimal degree of Southern IPR protection would also be globally efficient in some comparatively weak conditions.

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    File URL: http://mpra.ub.uni-muenchen.de/40039/
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    Bibliographic Info

    Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 40039.

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    Date of creation: 18 Sep 2011
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    Handle: RePEc:pra:mprapa:40039

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    Keywords: Optimal IPR protection; Subsidy to innovation; Endogenous innovation growth; Technology match; North; South; International policy cooperation;

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