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Trade Liberalization and Industry Protection in Russia

  • Natalia Tabatchnaia-Tamirisa

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.

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File URL: http://www.economics.hawaii.edu/research/workingpapers/88-98/WP_96-12.pdf
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Paper provided by University of Hawaii at Manoa, Department of Economics in its series Working Papers with number 199613.

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Length: 26 pages
Date of creation: 1996
Date of revision:
Handle: RePEc:hai:wpaper:199613
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  1. 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.
  2. Ishac Diwan & Dani Rodrik, 1989. "Patents, Appropriate Technology, and North-South Trade," NBER Working Papers 2974, National Bureau of Economic Research, Inc.
  3. Paul M Romer, 1999. "Endogenous Technological Change," Levine's Working Paper Archive 2135, David K. Levine.
  4. 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.
  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.
  6. 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 217-26, September.
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