International Licensing and the Strengthening of Intellectual Property Rights in Developing Countries During the 1990s

OECD Economic Studies, Issue 1, No. 40, 2005

Posted: 4 Apr 2011

See all articles by Walter G. Park

Walter G. Park

American University - Department of Economics

Douglas Lippoldt

HSBC; Groupe d'Economie Mondiale, Sciences Po, Paris

Date Written: November 1, 2005

Abstract

This paper assesses the effect of strengthened intellectual property rights in developing countries on international licensing activity. The analysis draws on indicators for four dimensions of intellectual property right stringency (covering patent rights, copyrights and trademark rights, as well as enforcement effectiveness) and on firm-level data related to licensing. Overall, the analysis points to a net positive effect of IPR strength on licensing activity, an effect that is strongest with respect to the indicators for patent rights and effective enforcement. Where developing countries have moved to address weaknesses in these areas in recent years, they have tended to experience increased inward licensing of intellectual assets. The overall implication is that intellectual property rights can play an important role in enabling firms in developing nations to access and exploit technologies and know-how through licensing agreements with parties in developed nations.

Keywords: Intellectual property, licensing, economic development

JEL Classification: O31, O34, F43

Suggested Citation

Park, Walter G. and Lippoldt, Douglas C., International Licensing and the Strengthening of Intellectual Property Rights in Developing Countries During the 1990s (November 1, 2005). OECD Economic Studies, Issue 1, No. 40, 2005. Available at SSRN: https://ssrn.com/abstract=1802486

Walter G. Park

American University - Department of Economics ( email )

4400 Massachusetts Avenue, N.W.
Washington, DC 20016-8029
United States

Douglas C. Lippoldt (Contact Author)

HSBC ( email )

London
United Kingdom

Groupe d'Economie Mondiale, Sciences Po, Paris ( email )

28, rue des Saints-Pères
Paris, 75007
France

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