The quality of parallel imports
This paper empirically analyzes the change in the quality of parallel import goods (goods that are traded without the permission of the intellectual property right holder) across countries over time. Index number methodology for assessing the changes in quality of traded goods is applied to goods subject to parallel import competition in the European Union during 1995-2004. The claim that parallel import competition leads to a reduction in quality over time is not substantiated after analyzing the changes in the quality of imports to Sweden and Finland (who joined the EU in 1995 and subsequently opened their markets to parallel trade) and comparing them to changes in quality in the rest of the EU.
Volume (Year): 6 (2008)
Issue (Month): 44 ()
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