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Innovation, Inequality and Intellectual Property Rights

  • Diana Weinhold

    (London School of Economics)

  • Usha Nair- Reichert

    (Georgia Institute of Technology)

The existing literature on the sources and nature of productivity growth during the early industrialization stages of U.S. has identified the combination of intellectual property rights (IPRs) with a large middle class and broad participation in markets as explanations for the extraordinary level and growth of patenting. This paper considers whether these factors could play a role in the contemporaneous evolution of innovation in a broad cross section of countries today. Our results indicate that IPRs and the size of the middle class help explain patterns of resident, but not non-resident patenting. Overall, the evidence suggests that non-resident patenting patterns are driven more by exogenous factors and global integration, while 'home grown' innovation is more sensitive to internal structural and institutional factors.

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File URL: http://econwpa.repec.org/eps/dev/papers/0410/0410002.pdf
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Paper provided by EconWPA in its series Development and Comp Systems with number 0410002.

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Length: 26 pages
Date of creation: 05 Oct 2004
Date of revision: 04 Nov 2004
Handle: RePEc:wpa:wuwpdc:0410002
Note: Type of Document - pdf; pages: 26
Contact details of provider: Web page: http://econwpa.repec.org

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