Abstract
This paper reviews the literature on benefits and (potential) problems from university patenting and licensing activity, based on 109 papers published between 1980 to 2004. Reasons for university patenting activities include positive influence on researchers' careers, prestige and earnings; additional research funds, access to other proprietary technology, equipment, or other opportunities; exchange of knowledge with industrial researchers, a test of the practical application of a theory. Main possible negative effects include undermining the culture of open science, diverting resources from long term fundamental research; diverting resources from teaching activity and reducing its quality. Policy implications and suggestions for further research conclude the paper.
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