Abstract
Aoki and Prusa (1993), Journal of International Economics, examine the effects of differing standards of IPRs protection on the R&D intensity of home country firms. This paper builds on this work by examining the R&D outcomes of home country firms when foreign rivals imitate rather than innovate. In infant industries, full commitment to discriminatory protection always leads to the most R&D. In mature industries, full commitment to discriminatory protection leads to reduced R&D intensity. This contrasts with the dynamic case where discriminatory protection, by relaxing a binding cash in advance constraint, leads to more R&D than does uniform protection.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
