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Effects Of Foreign Intellectual Property Rights On U.S. Bilateral Exports Of Biotechnology Related Agricultural Inputs


  • Wisniewski, Suzanne L.W.


This paper examines the effect of foreign intellectual property right (IPR) systems and the policies that comprise them on U.S. exports of biotechnology related agricultural input industries. Policy components include the extent of patent coverage across industry sectors, enforcement mechanisms, provisions for loss of patent protection, memberships to other international patent agreements, and duration of patent protection. Extending the empirical and theoretical work of Smith (2002), this paper uses a gravity model to analyze how IPRs affect the market power and market expansion effects of exports to countries with differing abilities to imitate technology. The findings suggest that strengthening global IPRs grant a market power effect to U.S. exporters; strong IPRs reduce U.S. exports by awarding a temporary monopoly over the protected good. However, the analysis of the individual policy components of an IPR system reveal which components inhibit trade through market power effects and which components counterbalance it through market expansion effects, increasing the flow of trade and access to biotechnology related agricultural inputs.

Suggested Citation

  • Wisniewski, Suzanne L.W., 2003. "Effects Of Foreign Intellectual Property Rights On U.S. Bilateral Exports Of Biotechnology Related Agricultural Inputs," 2003 Annual meeting, July 27-30, Montreal, Canada 22222, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea03:22222

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    References listed on IDEAS

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    3. Fink, Carsten & Braga, Carlos A. Primo, 1999. "How stronger protection of intellectual property rights affects international trade flows," Policy Research Working Paper Series 2051, The World Bank.
    4. Smith, Pamela J., 1999. "Are weak patent rights a barrier to U.S. exports?," Journal of International Economics, Elsevier, vol. 48(1), pages 151-177, June.
    5. Maskus, Keith E. & Penubarti, Mohan, 1995. "How trade-related are intellectual property rights?," Journal of International Economics, Elsevier, vol. 39(3-4), pages 227-248, November.
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    7. Pamela J. Smith, 2002. "Patent Rights and Trade: Analysis of Biological Products, Medicinals and Botanicals, and Pharmaceuticals," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(2), pages 495-512.
    8. Markusen, James R., 2001. "Contracts, intellectual property rights, and multinational investment in developing countries," Journal of International Economics, Elsevier, vol. 53(1), pages 189-204, February.
    9. Ginarte, Juan C. & Park, Walter G., 1997. "Determinants of patent rights: A cross-national study," Research Policy, Elsevier, vol. 26(3), pages 283-301, October.
    10. M. Scott Taylor, 1993. "TRIPS, Trade, and Technology Transfer," Canadian Journal of Economics, Canadian Economics Association, vol. 26(3), pages 625-637, August.
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