Intranational and International Knowledge Flows: Effects on the Formal and Informal Sectors

15 Pages Posted: 26 Feb 2016

See all articles by Rajeev K. Goel

Rajeev K. Goel

Illinois State University - Department of Economics

James W. Saunoris

Eastern Michigan University

Xingyuan Zhang

Okayama University

Date Written: April 2016

Abstract

This article studies the effects of international and intranational knowledge flows. Contributions include comparing the effects of knowledge flows on the formal and informal sectors and determining multilateral spatial spillovers of innovation. Results show that formal entrepreneurs respect intranational intellectual property rights, but benefit from international spillovers, especially from patents granted. In contrast, informal entrepreneurs somewhat respect intranational patents granted, but not patent applications and citations. International spillovers to the informal sector are mainly from patents granted. Spillover magnitudes are greater internationally than intranationally, and greater in the informal sector than the formal sector (except for trademarks).

JEL Classification: O33, L26, K42

Suggested Citation

Goel, Rajeev K. and Saunoris, James W. and Zhang, Xingyuan, Intranational and International Knowledge Flows: Effects on the Formal and Informal Sectors (April 2016). Contemporary Economic Policy, Vol. 34, Issue 2, pp. 297-311, 2016. Available at SSRN: https://ssrn.com/abstract=2738250 or http://dx.doi.org/10.1111/coep.12112

Rajeev K. Goel (Contact Author)

Illinois State University - Department of Economics ( email )

Normal, IL 61790-4200
United States

James W. Saunoris

Eastern Michigan University ( email )

Eastern Michigan University
Ypsilanti, MI 48197
United States

Xingyuan Zhang

Okayama University ( email )

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