International Patent Protection and Trade: Transaction-Level Evidence

27 Pages Posted: 14 Apr 2020 Last revised: 15 Jul 2021

See all articles by Gaétan de Rassenfosse

Gaétan de Rassenfosse

Ecole Polytechnique Fédérale de Lausanne

Marco Grazzi

Universita' Cattolica del Sacro Cuore

Daniele Moschella

Scuola Superiore Sant'Anna di Pisa

Gabriele Pellegrino

Ecole Polytechnique Fédérale de Lausanne

Date Written: March 27, 2020

Abstract

This paper investigates the extent to which international trade hinges on patents. We analyze the export and patenting activities of the universe of French exporting firms over the period 2002-2011. The noticeable feature of our study is that we observe export and patenting activities worldwide and at the product level. We exploit how heterogeneity of patent coverage within firm-product-country destinations relates to exports. We find a patent premium of about six percent, which is mainly associated with a quantity effect. Using information on rejected patent applications, we document a strong causal effect of patent protection on trade.

Keywords: export, intellectual property right, international trade, patent, product

Suggested Citation

de Rassenfosse, Gaétan and Grazzi, Marco and Moschella, Daniele and Pellegrino, Gabriele, International Patent Protection and Trade: Transaction-Level Evidence (March 27, 2020). Available at SSRN: https://ssrn.com/abstract=3562618 or http://dx.doi.org/10.2139/ssrn.3562618

Gaétan De Rassenfosse (Contact Author)

Ecole Polytechnique Fédérale de Lausanne ( email )

Station 5
Odyssea 1.04
1015 Lausanne, CH-1015
Switzerland

Marco Grazzi

Universita' Cattolica del Sacro Cuore ( email )

1 Largo A. Gemelli
Milano (Milan), MI Milano 20123
Italy

Daniele Moschella

Scuola Superiore Sant'Anna di Pisa ( email )

Biblioteca Scuola Superiore Sant'Anna
Piazza Martiri della Liberta, n. 33
Pisa, 56127
Italy

Gabriele Pellegrino

Ecole Polytechnique Fédérale de Lausanne ( email )

Station 5
Odyssea 1.04
1015 Lausanne, CH-1015
Switzerland

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