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Bidding for Brains: Intellectual Property Rights and the International Migration of Knowledge Workers

  • McAusland, Carol

    ()

    (University of British Columbia, Vancouver)

  • Kuhn, Peter J.

    ()

    (University of California, Santa Barbara)

We introduce international mobility of knowledge workers into a model of Nash equilibrium IPR policy choice among countries. We show that governments have incentives to use IPRs in a bidding war for global talent, resulting in Nash equilibrium IPRs that can be too high, rather than too low, from a global welfare perspective. These incentives become stronger as developing countries grow in size and wealth, thus allowing them to prevent the 'poaching' of their 'brains' by larger, wealthier markets.

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File URL: http://ftp.iza.org/dp4936.pdf
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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4936.

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Length: 26 pages
Date of creation: May 2010
Publication status: published in: Journal of Development Economics, 2011, 95 (1), 77-87
Handle: RePEc:iza:izadps:dp4936
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