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Uncertain Patent Scope and R&D Investment




This paper introduces uncertainty of patent scope in examining R&D investment decisions in pursuit of an uncertain innovation. We find that an increase in the probability of scope protection increases research spending. This finding is opposite of the well-known effect that increased rivalry has on R&D spending.

Suggested Citation

  • Goel, Rajeev K., 2002. "Uncertain Patent Scope and R&D Investment," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 55(1), pages 17-24.
  • Handle: RePEc:ris:ecoint:0194

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    References listed on IDEAS

    1. Eichengreen, Barry & Rose, Andrew K & Wyplosz, Charles, 1996. "Contagious Currency Crises," CEPR Discussion Papers 1453, C.E.P.R. Discussion Papers.
    2. Graciela Kaminsky & Saul Lizondo & Carmen M. Reinhart, 1998. "Leading Indicators of Currency Crises," IMF Staff Papers, Palgrave Macmillan, vol. 45(1), pages 1-48, March.
    3. Obstfeld, Maurice, 1986. "Rational and Self-fulfilling Balance-of-Payments Crises," American Economic Review, American Economic Association, vol. 76(1), pages 72-81, March.
    4. Paul R Masson, 1998. "Contagion; Monsoonal Effects, Spillovers, and Jumps Between Multiple Equilibria," IMF Working Papers 98/142, International Monetary Fund.
    5. Krugman, Paul, 1979. "A Model of Balance-of-Payments Crises," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 11(3), pages 311-325, August.
    6. Frankel, Jeffrey A. & Rose, Andrew K., 1996. "Currency crashes in emerging markets: An empirical treatment," Journal of International Economics, Elsevier, vol. 41(3-4), pages 351-366, November.
    7. van der Ploeg, Frederick, 1989. "The Political Economy of Overvaluation," Economic Journal, Royal Economic Society, vol. 99(397), pages 850-855, September.
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    More about this item


    Patent Scope; R&D Investment; Uncertainty;

    JEL classification:

    • L00 - Industrial Organization - - General - - - General
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General


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