Universal intellectual property rights: Too much of a good thing?

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info:eu-repo/semantics/altIdentifier/doi/10.1016/j.ijindorg.2019.01.003

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Emmanuelle Auriol et al., « Universal intellectual property rights: Too much of a good thing? », HAL-SHS : économie et finance, ID : 10.1016/j.ijindorg.2019.01.003


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Developing countries' incentives to protect intellectual property rights (IPR) are studied in a model of vertical innovation. Enforcing IPR boosts export opportunities to advanced economies but slows down technological transfers and incentives to invest in R&D. Asymmetric protection of IPR, strict in the North and lax in the South, leads in many cases to a higher world level of innovation than universal enforcement. IPR enforcement is U-shaped in the relative size of the export market compared to the domestic one: rich countries and small/poor countries enforce IPR, the former to protect their innovations, the latter to access foreign markets, while large emerging countries free-ride on rich countries' technology to serve their internal demand.

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