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Do Patents Weaken the Localization of Innovations? Evidence from World's Fairs

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  • Moser, Petra

Abstract

This article takes advantage of an exogenous shift towards patenting in chemicals to test whether patents contribute to the geographic diffusion of innovations. Data on U.S. innovations that were exhibited at four world fairs between 1851 and 1915 suggest that innovative activity became less localized after patenting rates increased. These changes cannot be explained by changes in the localization of chemical production or economy-wide changes in the localization of innovations.

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  • Moser, Petra, 2011. "Do Patents Weaken the Localization of Innovations? Evidence from World's Fairs," The Journal of Economic History, Cambridge University Press, vol. 71(02), pages 363-382, June.
  • Handle: RePEc:cup:jechis:v:71:y:2011:i:02:p:363-382_00
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    1. Fishback, Price V. & Kantor, Shawn & Wallis, John Joseph, 2003. "Can the New Deal's three Rs be rehabilitated? A program-by-program, county-by-county analysis," Explorations in Economic History, Elsevier, vol. 40(3), pages 278-307, July.
    2. Kenneth A. Snowden, 2010. "The Anatomy of a Residential Mortgage Crisis: A Look Back to the 1930s," NBER Working Papers 16244, National Bureau of Economic Research, Inc.
    3. David C. Wheelock, 2008. "The federal response to home mortgage distress: lessons from the Great Depression," Review, Federal Reserve Bank of St. Louis, issue May, pages 133-148.
    4. O. Emre Ergungor, 2007. "On the resolution of financial crises: the Swedish experience," Policy Discussion Papers, Federal Reserve Bank of Cleveland, issue Jun.
    5. Snowden, Kenneth A, 1997. "Building and loan associations in the U.S., 1880-1893: the origins of localization in the residential mortgage market," Research in Economics, Elsevier, vol. 51(3), pages 227-250, September.
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    Cited by:

    1. Joerg Baten & Nicola Bianchi & Petra Moser, 2015. "Does Compulsory Licensing Discourage Invention? Evidence From German Patents After WWI," NBER Working Papers 21442, National Bureau of Economic Research, Inc.
    2. Drivas, Kyriakos & Economidou, Claire & Karkalakos, Sotiris & Tsionas, Efthymios G., 2016. "Mobility of knowledge and local innovation activity," European Economic Review, Elsevier, vol. 85(C), pages 39-61.
    3. James E. Bessen, 2010. "Communicating Technical Knowledge," Levine's Working Paper Archive 661465000000000308, David K. Levine.
    4. Lin, Jeffrey, 2014. "The paper trail of knowledge transfers," Business Review, Federal Reserve Bank of Philadelphia, issue Q2, pages 1-6.
    5. Carlino, Gerald & Kerr, William R., 2015. "Agglomeration and Innovation," Handbook of Regional and Urban Economics, Elsevier.
    6. Kamal Saggi, 2016. "Trade, Intellectual Property Rights, and the World Trade Organization," Vanderbilt University Department of Economics Working Papers 16-00014, Vanderbilt University Department of Economics.
    7. B. Zorina Khan, 2014. "Of Time and Space: Technological Spillovers among Patents and Unpatented Innovations during Early U.S. Industrialization," NBER Working Papers 20732, National Bureau of Economic Research, Inc.
    8. Sweet, Cassandra Mehlig & Eterovic Maggio, Dalibor Sacha, 2015. "Do Stronger Intellectual Property Rights Increase Innovation?," World Development, Elsevier, vol. 66(C), pages 665-677.
    9. repec:kap:jecgro:v:22:y:2017:i:2:d:10.1007_s10887-017-9141-3 is not listed on IDEAS
    10. Drivas, Kyriakos & Fafaliou, Irene & Fampiou, Elpiniki & Yannelis, Demetrius, 2014. "The Effect of Patent Grant on the Geographic Reach of Patent Sales," MPRA Paper 60099, University Library of Munich, Germany.
    11. Francesco Cinnirella & Jochen Streb, 2013. "The Role of Human Capital and Innovation in Prussian Economic Development," CESifo Working Paper Series 4391, CESifo Group Munich.

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