International Outsourcing, Tax, and Patent Protection
We show that, in the case of a vertical technology transfer, if there is imperfect knowledge spillover under a weak patent protection, the strong patent protection in the developing country increases the profit of the developed-country firm if there is a uniform tax rate in the developing country. If there is either perfect knowledge spillover under weak patent protection or the developing country charges discriminatory tax rates, the profits of the developed-country firms are the same under weak and strong patent protections in the developing countries.
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Volume (Year): 13 (2011)
Issue (Month): 1 (02)
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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.:
- Davidson, Carl & Martin, Lawrence W. & Wilson, John D., 2005. "Tax evasion as an optimal tax device," Economics Letters, Elsevier, vol. 86(2), pages 285-289, February.
- Cosgel, Metin M., 2006.
"Taxes, efficiency, and redistribution: Discriminatory taxation of villages in Ottoman Palestine, Southern Syria, and Transjordan in the sixteenth century,"
Explorations in Economic History,
Elsevier, vol. 43(2), pages 332-356, April.
- Metin Cosgel, 2002. "Taxes, Efficiency, and Redistribution: Discriminatory Taxation of Villages in Ottoman Palestine, Southern Syria and Transjordan in the Sixteenth Century," Working papers 2002-22, University of Connecticut, Department of Economics, revised Jul 2004.
- Pack, Howard & Saggi, Kamal, 2001. "Vertical technology transfer via international outsourcing," Journal of Development Economics, Elsevier, vol. 65(2), pages 389-415, August. Full references (including those not matched with items on IDEAS)
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