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Strengthening intellectual property rights: Experience from the 1986 Taiwanese patent reforms

  • Lo, Shih-tse
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    Do stronger intellectual property rights spur inventive activity and foreign direct investment (FDI) in developing countries? What are the characteristics of industries where strengthening patent rights has the most favorable impact? In an attempt to answer these questions, this paper uses the 1986 Taiwanese patent reforms to examine the effects of strengthening patent rights in a developing economy. I find that the reforms encouraged R&D effort across industries. In addition, industries that were highly R&D intensive witnessed a marked increase in their patenting in the United States. The reforms also induced additional FDI.

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    File URL: http://www.sciencedirect.com/science/article/pii/S0167718710001347
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    Article provided by Elsevier in its journal International Journal of Industrial Organization.

    Volume (Year): 29 (2011)
    Issue (Month): 5 (September)
    Pages: 524-536

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    Handle: RePEc:eee:indorg:v:29:y:2011:i:5:p:524-536
    Contact details of provider: Web page: http://www.elsevier.com/locate/inca/505551

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    7. Richard C. Levin & Alvin K. Klevorick & Richard R. Nelson & Sidney G. Winter, 1987. "Appropriating the Returns from Industrial Research and Development," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 18(3), pages 783-832.
    8. Jean O. Lanjouw, 1998. "The Introduction of Pharmaceutical Product Patents in India: "Heartless Exploitation of the Poor and Suffering"?," NBER Working Papers 6366, National Bureau of Economic Research, Inc.
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    13. repec:fth:harver:1473 is not listed on IDEAS
    14. Lanjouw, Jean O. & Cockburn, Iain M., 2001. "New Pills for Poor People? Empirical Evidence after GATT," World Development, Elsevier, vol. 29(2), pages 265-289, February.
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