Patent Citation Data Research Articles

Where does energy R&D come from? Examining crowding out from energy R&D

Recent efforts to endogenize technological change in climate policy models demonstrate the importance of accounting for the opportunity cost of climate R&D investments. Because the social returns to R&D investments are typically higher than the social returns to other types of investment, any new climate mitigation R&D that comes at the expense of other R&D investment may dampen the overall gains from induced technological change. Unfortunately, there has been little empirical work to guide modelers as to the potential magnitude of such crowding out effects. This paper considers both the private and social opportunity costs of climate R&D. Addressing private costs, we ask whether an increase in climate R&D represents new R&D spending, or whether some (or all) of the additional climate R&D comes at the expense of other R&D. Addressing social costs, we use patent citations to compare the social value of alternative energy research to other types of R&D that may be crowded out. Beginning at the industry level, we find no evidence of crowding out across sectors—that is, increases in energy R&D do not draw R&D resources away from sectors that do not perform R&D. Given this, we proceed with a detailed look at alternative energy R&D. Linking patent data and financial data by firm, we ask whether an increase in alternative energy patents leads to a decrease in other types of patenting activity. While we find that increases in alternative energy patents do result in fewer patents of other types, the evidence suggests that this is due to profit-maximizing changes in research effort, rather than financial constraints that limit the total amount of R&D possible. Finally, we use patent citation data to compare the social value of alternative energy patents to other patents by these firms. Alternative energy patents are cited more frequently, and by a wider range of other technologies, than other patents by these firms, suggesting that their social value is higher.

Connecting external knowledge usage and firm performance: An empirical analysis

Prior research suggests that firms create breakthrough innovations by using external knowledge, but it also underscores the difficulties firms face in acquiring and applying external knowledge. In this paper, we combine these insights to examine the conditions under which external knowledge usage will either enhance or erode firm performance. In particular, we argue that high external knowledge usage has a negative effect on performance when firms enter multiple new product markets, but a positive effect on performance when firms using external knowledge have higher absorptive capacity. We find general support for our hypotheses, which we test using patent citation data from the global integrated circuit manufacturing industry. Our findings have important implications for managers of firms making strategic decisions about their firms’ product portfolios and the degree to which they use external knowledge.

Evolution of knowledge creation and diffusion: the revisit of Taiwan’s Hsinchu Science Park

The Hsinchu Science Park in Taiwan has been synonymous with dynamic and flourishing high-tech industries and companies since the 1980s. Using patent citation data, this empirical study shows that Taiwan's Hsinchu Science Park is a healthy and knowledge-based cluster surrounded by the semiconductor sector, in which external knowledge is continuously playing an important role, while internalized capability is building up quickly; new and extended industrial clusters are being established by the growth of new ventures; and the linkages of capital, manpower, and technology flows are conducted respectively by the large business groups, the NTHU and NCTU, and the ITRI in the region. Subsequent sectors, repeating the successful model created by and catalyzed from the semiconductor sector are flourishing; the thin-film transistor-liquid crystal display (TFT-LCD) and integrated circuit (IC) design sectors have been growing rapidly since the beginning of the 2000s, and the solar photovoltaic and LED (Light-Emitting Diode) sectors emerged quickly in mid-2005. The continuous evolving and growing industries along with the significant increase of value added in the Hsinchu Science Park have demonstrated it is acting as a healthy and vivid innovation region. The policy implications derived from this study can thus shed light, for the Southeast Asian, Latin American or other latecomers, on the strategies for formulating regional research and innovation policies in the process of developing a knowledge-based economy.

How important are noncorporate patents? A comparative analysis using patent citations data

This article analyses the innovative performances of noncorporate inventors using patent citations data from the European Patent Office. The results show that inventions patented outside an established corporate framework are on average less ‘important’ than corporate patents, but with large variations across technology classes. Patents applied for by independent inventors, start-ups and corporate firms are of comparable ‘quality’ in emerging technologies. The results also highlight that in these fields noncorporate patents are more ‘radical’ than corporate patents.

Catch-up process and underlying knowledge flows: focusing on geographic localisation at a national dimension

One of the factors making technological catch-up possible has been suggested as an access to external technology or knowledge. Considering that just accessing external knowledge is not sufficient, this paper tries to approach this issue from the perspective of absorptive capacity building and enhancing and related knowledge and knowledge flows. From the perspective of national dimension, absorptive capacity enhancing can be regarded as having geographic elements in knowledge flows within national territory. This paper tries to utilise patent citation data made by USPTO (United States Patent and Trademark Office) for finding out the characteristics of knowledge flows which has been underlying the catch-up phenomenon of catching-up countries. We can find out that even though there is a marked difference between advanced countries and catching-up economies in terms of strong or weak localisation of knowledge flows, it is evident that the geographic localisation exists in spite of the heavy dependence on external knowledge. In addition, even in catching-up countries, technological development accompanies a strengthening of the localisation of knowledge flows, from weak to strong as well as from low to high. Therefore, we discover that technological catch-up necessitates the active attitude toward available external knowledge, not just the passive attitude, and some mechanism to spillover the adapted knowledge to other innovative firms, and a way to innovate to confirm this attitude and mechanism.

Technological Importance and Economic Value of Innovations in Large Family and Founder Firms: An Analysis of Patent Data

Prior research has analyzed R&D spending in family and founder firms. Yet, little is known about the economic and technological importance of innovations in these types of firms. Using patent citation data, we show that founder-managed firms, which we argue favor an entrepre-neurial orientation, receive more patent citations when compared to other firms, even controlling for R&D spending. By contrast family-managed firms, many of which, we argue, pursue socio-emotional wealth for the family, receive fewer patent citations compared to other firms, again, controlling for R&D spending. Patent citations have been shown in the literature to reflect the economic and technological importance of innovations.

EXPLORING THE RELATIONSHIP BETWEEN EFFICIENT SUPPLY CHAIN MANAGEMENT AND FIRM INNOVATION: AN ARCHIVAL SEARCH AND ANALYSIS

This paper illustrates the use of secondary data for operations and supply chain management research by investigating the association between efficient supply chain management and innovation of firms. An empirical inquiry is conducted using archival financial statement information and patent citation data for firms in the manufacturing sector, over a 10-year period from 1987 to 1996. Longitudinal analysis, focusing on the influence of efficient supply chain management on a firm's innovation over time, is conducted. Results and limitations are discussed along with a summary of steps, which may be followed when using secondary data for operations and supply chain management research.

Patent Valuation - Impact Factors Through Business Intelligence

This paper describes a way to analyze through the use of Business Intelligence (BI), the United States & Trademark Office (USPTO) data base for patent impact valuation. The research covers the entire data base since 1976 - about 3.5 million patents and 18 million citations. The article presents modified algorithms first constructed by the pioneers Jaffe & Trajtenberg (2002) that quantify and measure constructed forward and backward patent-importance values based on patent citation data. The new algorithms contribute a better analysis of patent-importance values. The modified algorithms which express the values Forward Importance Patent (FIP) and Backward Importance Patent (BIF) are calculated by citation information backward and forward, based on the first and second generation patent counts. Furthermore, we have replaced the artificial λ factor used in the previous algorithms with a measured factor. The outcome of these two modified indicators is the Importance Factor (PIF). The new quantified impact figure better expresses the patent-valuation importance values. The modified algorithm particularly enlightens significant changes over time in patent innovation dynamic values and in the known Impact Factor Indicators (PIFI).

Brain drain or brain bank? The impact of skilled emigration on poor-country innovation

The development prospects of a poor country or region depend in part on its capacity for innovation. In turn, the productivity of its innovators, whom are often concentrated around urban centers, depends on their access to technological knowledge. The emigration of highly skilled individuals weakens local knowledge networks (brain drain) but may also help remaining innovators access valuable knowledge accumulated abroad (brain bank). We develop a model in which the size of the optimal innovator Diaspora depends on the competing strengths of co-location and Diaspora effects for accessing knowledge. Then, using patent citation data associated with inventions from India, we estimate the key co-location and Diaspora parameters. The net effect of innovator emigration is to harm domestic knowledge access, on average. However, knowledge access conferred by the Diaspora is particularly valuable in the production of India’s most important inventions as measured by citations received. Thus, our findings imply that the optimal emigration level may depend, at least partly, on the relative value resulting from the most cited compared to average inventions.

Methods for identifying emerging General Purpose Technologies: a case study of nanotechnologies

Nanotechnology is an emerging field of science with the potential to generate new and enhance existing products and transform the production process. US patent data is used to track the emergence of nanotechnologies since 1978. The nanotechnologies that have undergone the most development are identified using patent citation data and co-citation patterns of patents are examined to define clusters of related nanotechnologies. The potential for economic impact of the emerging nanotechnologies is assessed using a generality index.

A study on the relationship between technology diffusion and new product diffusion

This study investigates the relationship between “technology diffusion” and “new product diffusion”. We define “technology diffusion” as a knowledge spillover process, which is represented by patent citation, and “new product diffusion” as the spread of a new product that has been developed by the application of patented technology. To investigate the relationship between the two types of diffusion, we use patent citation data of code division multiple access (CDMA) technology and market sales data of mobile phones in South Korea for the analysis. The results show that the diffusion of technology through patent citation could be successfully explained by empirical analysis, for which the Bass diffusion model was used. Moreover, we can find out if technology diffusion can be the leading indicator of a new product's diffusion before its launching; in other words, before the commercialization of the patent.

Mergers and Sequential Innovation: Evidence from Patent Citations

An extensive literature has investigated the effect of market structure on innovation. A persistent concern is that market structure may be endogenous to innovation. Firms may choose to merge so as to capture information spillovers or they may choose to merge so as to dampen competition in innovation. These two scenarios have very different welfare implications. This paper attempts to distinguish between the two scenarios empirically, looking at recent mergers among public companies in the United States. Using patent citation data, I find evidence that firms increase their rate of sequential innovation in the years preceding a merger, and reduce their rate of sequential innovation in the years following a merger. This suggests that mergers are motivated more by the desire to dampen competition than by the desire to capture information spillovers. I use citation-based measures of patent value to shed light on the welfare implications. The question is relevant for policy, as the FTC and DOJ frequently cite innovation as a reason for concern about a merger.

Mergers and Sequential Innovation: Evidence from Patent Citations

An extensive literature has investigated the effect of market structure on innovation. A persistent concern is that market structure may be endogenous to innovation. Firms may choose to merge so as to capture information spillovers or they may choose to merge so as to dampen competition in innovation. These two scenarios have very different welfare implications. This paper attempts to distinguish between the two scenarios empirically, looking at recent mergers among public companies in the United States. Using patent citation data, I find evidence that firms increase their rate of sequential innovation in the years preceding a merger, and reduce their rate of sequential innovation in the years following a merger. This suggests that mergers are motivated more by the desire to dampen competition than by the desire to capture information spillovers. I use citation-based measures of patent value to shed light on the welfare implications. The question is relevant for policy, as the FTC and DOJ frequently cite innovation as a reason for concern about a merger.

Ideas and Innovation in East Asia

The generation, diffusion, absorption, and application of new technology, knowledge, or ideas are crucial drivers of development. The authors examine the exceptionally fast growth in domestic innovation efforts in Korea, Taiwan (China), Singapore, and China, drawing on information about R&D as well as patent and patent citations data. They also use the World Bank Investment Climate Surveys to investigate sources of technological innovation in the other middle- and low-income East Asian economies. They then evaluate the role of three main channels for knowledge flows to East Asia—international trade, acquisition of disembodied knowledge, and foreign direct investment. Results from estimating an international knowledge diffusion model using patent citations data show that, while East Asian innovations continue to draw heavily on knowledge flows from the US and Japan, citations to the same or to other East Asian economies are quickly rising, indicating the emergence of national and regional knowledge stocks as a foundation for innovation.

THE PATTERN OF KNOWLEDGE FLOWS BETWEEN TECHNOLOGY FIELDS

This paper exploits recent contributions to the notions of modularity and autocatalytic sets to identify the functional and structural units that define the strongest systematic and self-sustaining channels of knowledge transfer and accumulation within the network of knowledge flows between technology fields. Our analysis reconstructs the architecture of the empirical knowledge pattern based on the United States Patent and Trademark Office (USPTO) patent citation data at the level of resolution of three-digit technology classes, for the period 1975–99.

The Regionalization of Knowledge Flows in East Asia: Evidence from Patent Citations Data

This paper investigates the extent to which East Asia has become a source of international knowledge diffusion and whether such diffusion is localized to the region. Using citations made by US Patent and Trademark Office (USPTO) granted patents to other USPTO patents as an indicator of knowledge flow, I investigate the patterns of knowledge diffusion in East Asia by estimating a model of international knowledge diffusion. While OECD countries remain the dominant sources of knowledge, I find evidence of increasing regionalization of knowledge flow in East Asia.

Gender differences in patenting activity: An examination of the US biotechnology industry

The gender gap in science and technology has received considerable attention by both researchers and policy makers. In an effort to better understand the quantity, quality, and underlying characteristics of female research efforts, I integrate three existing databases to uncover how female patenting activities differ from men’s in the US biotechnology industry. Data on how much science the patents build upon, the author institutions of that science, and who funded the papers in which the science appears are all examined. In addition, using the NBER Patent Citation Data Files, I propose a possible gender-based life cycle model for patenting activity. The policy implications of my findings are also discussed.

MODELING SPATIAL AUTOCORRELATION IN SPATIAL INTERACTION DATA: AN APPLICATION TO PATENT CITATION DATA IN THE EUROPEAN UNION*

ABSTRACT Spatial interaction models of the gravity type are widely used to model origin–destination flows. They draw attention to three types of variables to explain variation in spatial interactions across geographic space: variables that characterize an origin region of a flow, variables that characterize a destination region of a flow, and finally variables that measure the separation between origin and destination regions. This paper outlines and compares two approaches, the spatial econometric and the eigenfunction‐based spatial filtering approach, to deal with the issue of spatial autocorrelation among flow residuals. An example using patent citation data that capture knowledge flows across 112 European regions serves to illustrate the application and the comparison of the two approaches.

The power law model and total career h-index sequences

Three variations on the power law model proposed by Egghe are fitted to four groups of h-index time series: publication-citation data for authors, journals and universities; and patent citation data for firms. It is shown that none of the power law models yields an adequate description of total career h-index sequences.

Modelling Spatial Autocorrelation in Spatial Interaction Data

Spatial interaction models of the gravity type are widely used to model origindestination flows. They draw attention to three types of variables to explain variation in spatial interactions across geographic space: variables that characterise an origin region of a flow, variables that characterise a destination region of a flow, and finally variables that measure the separation between origin and destination regions. This paper outlines and compares two approaches, the spatial econometric and the eigenfunction-based spatial filtering approach, to deal with the issue of spatial autocorrelation among flow residuals. An example using patent citation data that capture knowledge flows across 112 European regions serves to illustrate the application and the comparison of the two approaches.(authors' abstract)