Patent Protection with Licensing

Che, Xiaogang and Yang, Yibai (2009): Patent Protection with Licensing.

Abstract

This note gives a short proof that both fixed-fee and royalty licensing under patent protection can always create higher R&D investment.

• Item Type: MPRA Paper
• Language: English
• Keywords: R&D investment; Patent protection; Licensing
• Subjects: O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O38 - Government Policy; O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O34 - Intellectual Property and Intellectual Capital; O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O32 - Management of Technological Innovation and R&D

References

Chowdhury, P. R. (2005): “Patents and R&D: The Tournament Effect,” Economics Letters, 89(1), 120–126.

Mukherjee, A. (2006): “Patents and R&D With Imitation and Licensing,” Economics Letters, 93(2), 196–201.

Rockett, K. (1990): “The Quality of Licensed Technology,” International Journal of Industrial Organization, 8(4), 559–574.

Wang, X. H. (1998): “Fee versus Royalty Licensing in a Cournot Duopoly Model,” Economics Letters, 60(1), 55–62.