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Trade Liberalization and Industry Protection in Russia

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  • Natalia Tabatchnaia-Tamirisa

Abstract

This paper presents an endogenous growth model for two regions with assymetric initial stocks of knowledge. The novel features of the paper lie in modelling the differentiation of regions into an innovator and an imitator as endogenous, and analyzing optimal intellectual property rights (IPRs) for the imitator's catching-up. Weak IPR protection and a high imitation rate allow the initially knowledge-scarce imitator region to accumulate sufficient knowledge and switch to innovation, at which time tight IPRs become socially optimal. Policy implications for the international harmonization of IPRs under are assessed in light of the theoretical results.

Suggested Citation

  • Natalia Tabatchnaia-Tamirisa, 1996. "Trade Liberalization and Industry Protection in Russia," Working Papers 199613, University of Hawaii at Manoa, Department of Economics.
  • Handle: RePEc:hai:wpaper:199613
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    File URL: http://www.economics.hawaii.edu/research/workingpapers/88-98/WP_96-12.pdf
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    References listed on IDEAS

    as
    1. Diwan, Ishac & Rodrik, Dani, 1991. "Patents, appropriate technology, and North-South trade," Journal of International Economics, Elsevier, vol. 30(1-2), pages 27-47, February.
    2. Deardorff, Alan V, 1992. "Welfare Effects of Global Patent Protection," Economica, London School of Economics and Political Science, vol. 59(233), pages 35-51, February.
    3. 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.
    4. Dixit, Avinash K & Stiglitz, Joseph E, 1977. "Monopolistic Competition and Optimum Product Diversity," American Economic Review, American Economic Association, vol. 67(3), pages 297-308, June.
    5. Chou, Chien-Fu & Shy, Oz, 1991. "A Model of Technology Gap, Product Cycle, and the Process of Catching Up between the North and the South," The Economic Record, The Economic Society of Australia, vol. 67(198), pages 217-226, September.
    6. Romer, Paul M, 1990. "Endogenous Technological Change," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 71-102, October.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    innovation; imitation; intellectual property rights;

    JEL classification:

    • F1 - International Economics - - Trade
    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights

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