Kanwar and Evenson (2003)
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Source Details
Kanwar and Evenson (2003) | |
Title: | Does Intellectual Property Protection Spur Technological Change? |
Author(s): | Kanwar, S., Evenson, R. |
Year: | 2003 |
Citation: | Kanwar, S., & Evenson, R. (2003). Does intellectual property protection spur technological change?. Oxford Economic Papers, 235-264. |
Link(s): | Definitive , Open Access |
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About the Data | |
Data Description: | Data on all the variables was available only for 29 countries for the period 1981-1990. |
Data Type: | Secondary data |
Secondary Data Sources: | |
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Data Analysis Methods: | |
Industry(ies): | |
Country(ies): | |
Cross Country Study?: | Yes |
Comparative Study?: | No |
Literature review?: | No |
Government or policy study?: | No |
Time Period(s) of Collection: |
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Abstract
Of the diverse factors motivating technological change, one factor that has received increasing attention in the recent past has been the protection of intellectual property rights. Given fairly recent changes in the international policy ethos where a regime of stronger intellectual property protection has become a fait accompli for most developing countries (and the developed too), it is of some significance to ask whether more stringent protection of intellectual property does indeed encourage innovation. And this is the question which this paper examines, utilising cross‐country panel data on R&D investment, patent protection and other country‐specific characteristics spanning the period 1981–95. The evidence unambiguously indicates the significance of intellectual property rights as incentives for spurring innovation.
Main Results of the Study
- Evidence was found to support the claim that protection of intellectual property rights encourages technological change insofar as intellectual property protection was found to have a strong positive investment on R&D investment.* There appeared to be some basis for the claim that relationship between R&D and protection may not be backward-bending
Policy Implications as Stated By Author
Results imply that the lack of an incentive structure can be a significant mitigating factor for technological change even when other constraints such as internal funds, availability of skills and trade orientation may not be binding.
Coverage of Study
Datasets
Sample size: | 58 |
Level of aggregation: | Country |
Period of material under study: | 1981-1990 |