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on Innovation |
| By: | Petra Moser; Paul W. Rhode |
| Abstract: | The Plant Patent Act of 1930 was the first step towards creating property rights for biological innovation: it introduced patent rights for asexually-propagated plants. This paper uses data on plant patents and registrations of new varieties to examine whether the Act encouraged innovation. Nearly half of all plant patents between 1931 and 1970 were for roses. Large commercial nurseries, which began to build mass hybridization programs in the 1940s, accounted for most of these patents, suggesting that the new intellectual property rights may have helped to encourage the development of a commercial rose breeding industry. Data on registrations of newly-created roses, however, yield no evidence of an increase in innovation: less than 20 percent of new roses were patented, European breeders continued to create most new roses, and there was no increase in the number of new varieties per year after 1931. |
| JEL: | K0 N12 O3 O31 O34 Q0 |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:16983&r=ino |
| By: | Spyros Arvanitis (KOF Swiss Economic Institute, ETH Zurich, Switzerland); Martin Woerter (KOF Swiss Economic Institute, ETH Zurich, Switzerland) |
| Abstract: | Aim of this study is to combine micro-aspects of firm behaviour with macro-aspects of business development and identify market conditions (for example, price competition) and firm characteristics (for example, type of R&D partners) that enable a firm to have a procyclical, anti-cyclical or non-systematic R&D investment behaviour. New elements of our analysis are: (a) the identification in our data of the above three main types of R&D behaviour with respect to the fluctuation of overall economic activity as measured by a standard composite indicator of the business conditions at industry level and (b) the investigation of a series of hypotheses as to innovation-relevant firm characteristics that underline the three different behaviour categories. The empirical results confirm to large extent our hypotheses and allow us to make profiles of the three types of R&D behaviour. |
| Keywords: | R&D, anti-cyclical behaviour, pro-cyclical behaviour |
| JEL: | O3 |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:kof:wpskof:11-277&r=ino |
| By: | Jean BELIN (GREThA, CNRS, UMR 5113); Jens HORBACH (University of Applied Sciences Augsburg); Vanessa OLTRA (GREThA, CNRS, UMR 5113) |
| Abstract: | Many recent papers deal with exploring and explaining the determinants of eco-innovations for different countries supporting the formulation of efficient policy measures to trigger eco-innovation activities of firms. Unfortunately, there is still a lack of cross-country analyses allowing recognizing “international” stylized facts, but also regional characteristics of eco-innovations. Based on data from the fourth Community Innovation Survey (CIS) for France and Germany, the present paper tries to contribute to fill this gap. Using econometric methods, we are able to detect remarkable similarities between the different determinants of eco-innovation in the two countries. The results confirm the central role of regulation and cost savings as motivations for eco-innovation. Furthermore, eco-innovative activities seem to require more external sources of knowledge and information than innovation in general. |
| Keywords: | Eco-Innovation, Industry, Discrete Choice Models |
| JEL: | Q55 O33 O38 C25 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:grt:wpegrt:2011-17&r=ino |
| By: | Andrea, Canidio |
| Abstract: | Empirical evidence shows that R&D productivity decreases with firm size. I provide an explanation to this fact by developing a model of science production where heterogeneous researchers are endogenously allocated to different firms. The main assumption is that firms invest in research to increase their absorptive capacity: the ability to use and understand knowledge produced outside of the firm. Firms create absorptive capacity by building labs and hiring researchers in a competitive market. Because of externalities, firms underinvest in labs. More interestingly, researchers and labs are substitutes in the revenue function, even though they are complements in the research production function. As a consequence, the greater the investment in research, the lower the productivity of the researcher working for the firm. This generates a novel form of inefficiency: for any given investment, the allocation of researchers to firms is non optimal. |
| Keywords: | Knowledge, R&D Productivity, Organization of Scientific Research, Externality, Absorptive Capacity, Matching with Investment. |
| JEL: | D21 O38 O31 H23 L22 |
| Date: | 2010–07 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:30257&r=ino |
| By: | Chu, Angus C.; Cozzi, Guido; Galli, Silvia |
| Abstract: | Inspired by the Chinese experience, we develop a Schumpeterian growth model of distance to frontier in which economic growth in the developing country is driven by domestic innovation as well as imitation and transfer of foreign technologies through foreign direct investment. We show that optimal IPR protection is stage-dependent. At an early stage of development, the country implements weak IPR protection to facilitate imitation. At a later stage of development, the country implements strong IPR protection to encourage domestic innovation. Finally, we provide empirical evidence that supports this theoretical finding. |
| Keywords: | economic growth; stage-dependent intellectual property rights |
| JEL: | O34 O31 O40 |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:30553&r=ino |
| By: | Zhu, Erqian; Kim, Man-Keun; Harris, Thomas R. |
| Keywords: | Innovation Capacity, Natural Amenity, Community/Rural/Urban Development, O31, Q51, |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea11:103249&r=ino |
| By: | Noriaki Matsushima; Koki Arai; Ikuo Ishibashi; Fumio Sensui |
| Abstract: | Using a simple downstream duopoly model with vertical relations and downstream R&D, we investigate the effect of non-assertion of patents (NAP) provisions. A monopoly upstream firm decides whether to employ NAP provisions. If it does so, it freely incorporates the R&D outcomes into its inputs. Incorporation improves the efficiency of the downstream firms' production. We have interpreted the introduction of NAP provisions as a source of technology spillover. Using the technologies of two downstream firms is optimal for the upstream firm if and only if the degree of technology spillover is small. In addition, if the ex ante cost difference between the downstream firms is significant, such technology spillovers erode both the profit of the efficient downstream firm and social welfare. We interpret our result in the context of an actual antitrust case related to this model. |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:dpr:wpaper:0807&r=ino |
| By: | Toole, Andrew A; King, John L |
| Abstract: | Prior research identifies a direct positive link between the stock of public scientific knowledge and agricultural productivity; however, an indirect contribution to agricultural productivity is also possible when this stock facilitates private sector invention. This study examines how âconnectednessâ between the stock of public scientific knowledge and private firms influences firm-level research productivity. Bibliographic information identifies the nature and degree to which firms use public agricultural science through citations and collaborations on scientific papers. Fixed effects models show that greater citations and collaborations with university researchers are associated with greater agricultural research productivity. |
| Keywords: | public science, research productivity, patents, citations, collaboration, R&D, Productivity Analysis, Research and Development/Tech Change/Emerging Technologies, Q16, O31, |
| Date: | 2011–04–27 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea11:103211&r=ino |
| By: | Yuko Ito (National Graduate Institute for Policy Studies); Hiroshi Nagano (National Graduate Institute for Policy Studies) |
| Abstract: | Accountability for investment of public funds is required and it is necessary to explain the social contribution or social return of research based on evidence. In case of life sciences R&D, we consider that the innovation in the medical treatment (drug discovery) is its goal, which will contribute to the furtherance of public health. Therefore, collaborative research between public institutions and hospitals is regarded to be crucial. We conducted an on-line survey among hospital physicians. The results indicated that physicians in national/incorporated administrative agency hospitals seem to act as a mediator between basic research and clinical trial (such as those willing to conduct clinical research or clinical trial, who have the ability to publish paper written in foreign language, etc.). In addition, we examined collaborative models between public institutes (NIH, INSERM) and hospitals abroad. Based on these models, we propose that the collaboration between the RIKEN Institute and the National Hospital Organization may create Japanese styled collaborative model covering from basic research to clinical (phase II), similar to the NIH in the United States. |
| Keywords: | translational research, public institutes, social return, hospital physicians,collaboration |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:ngi:dpaper:10-36&r=ino |
| By: | Daron Acemoglu |
| Abstract: | This paper proposes a tractable model to study the equilibrium diversity of technological progress and shows that equilibrium technological progress may exhibit too little diversity (too much conformity), in particular, foregoing socially beneficial investments in “alternative” technologies that will be used at some point in the future. The presence of future innovations that will replace current innovations imply that social benefits from innovation are not fully internalized. As a consequence, the market favors technologies that generate current gains relative to those that will bear fruit in the future; current innovations in research lines that will be profitable in the future are discouraged because current innovations are typically followed by further innovations before they can be profitably marketed. A social planner would choose a more diverse research portfolio and would induce a higher growth rate than the equilibrium allocation. The diversity of researchers is a partial (imperfect) remedy against the misallocation induced by the market. Researchers with different interests, competences or ideas may choose non-profit maximizing and thus more diverse research portfolios, indirectly contributing to economic growth. |
| JEL: | C65 O30 O31 O33 |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:16984&r=ino |
| By: | Silvia R. Sedita (University of Padova); Fiorenza Belussi (University of Padova); Gianluca Fiscato (University of Milano) |
| Abstract: | The aim of the paper is to identify the internationalization models of SME industrial district firms within a very integrated and dynamic Regional Innovation System (RIS) of Italy. By doing so, we investigate which are the strategies of firms embedded in a RIS to access global suppliers and markets. Accordingly, this paper explores the role of SMEs firmsÕ dynamic capabilities, its linkage with the industry investments in ICT (information and communication technologies) and the impact of the utilization of regional knowledge intensive business services (KIBS) in shaping the degree of internationalization of local firms. The analysis is based on a survey addressed during 2004 to entrepreneurs or managers of a sample of 125 SMEs firms operating in 7 industrial districts (biomedical, ceramics, shipbuilding, footwear, textile, plastics and packaging) of the Emilia Romagna. The results coming from a structural equation model revealed factors that impact on firmsÕ degree of internationalization in the input (relocalisation of foreign purchases through global value chains) and in the output dimension (export sales). Some interesting insights on what lies beneath the internationalization of firms in a very dynamic regional innovation system like that one of Emilia Romagna are provided. |
| Keywords: | industrial districts, dynamic capabilities, ICT (information and communication technologies), internationalization; regional innovation systems. |
| JEL: | F23 O32 R58 |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:pad:wpaper:0132&r=ino |
| By: | Joshua Gans; Fiona E. Murray |
| Abstract: | This paper examines argues that while two distinct perspectives characterize the foundations of the public funding of research – filling a selection gap and solving a disclosure problem – in fact both the selection choices of public funders and their criteria for disclosure and commercialization shape the level and type of funding for research and the disclosures that arise as a consequence. In making our argument, we begin by reviewing project selection criteria and policies towards disclosure and commercialization (including patent rights) made by major funding organizations, noting the great variation between these institutions. We then provide a model of how selection criteria and funding conditions imposed by funders interact with the preferences of scientists to shape those projects that accept public funds and the overall level of openness in research. Our analysis reveals complex and unexpected relationships between public funding, private funding, and public disclosure of research. We show, for example, that funding choices made by public agencies can lead to unintended, paradoxical effects, providing short-term openness while stifling longer-term innovation. Implications for empirical evaluation and an agenda for future research are discussed. |
| JEL: | O34 O38 |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:16980&r=ino |
| By: | Iraj Hashi; Nebojsa Stojcic; Shqiponja Telhaj |
| Abstract: | This paper aims to explore the factors influencing the ability of firms to compete in globalised markets. The Austrian and evolutionary economics and the endogeneous growth literature highlight the role of innovation activities in enabling firms to compete more effectively - and expand their market share. On the basis of these theories, and using a large panel of firms from several Central and East European Countries (CEECs), this paper attempts to identify the factors and forces which determine the ability of firms to compete in conditions of transition. The competitiveness of firms, measured by their market share, is postulated to depend on indicators of firms' innovation behaviour such as improvements in cost-efficiency, labour productivity and investment in new machinery and equipment as well as characteristics of firms and their environment such as location, experience, technological intensity of their industries and the intensity of competition. To control for the dynamic nature of competitiveness and the potential endogeneity of its determinants, and to distinguish between short and long run effects of firm behaviour, a dynamic panel methodology is employed. The results indicate that the competitiveness of firms in transition economies is enhanced with improvements in their cost efficiency, productivity of labour, investment and their previous business experience while stronger competition has a negative impact on it. |
| Keywords: | competitiveness, restructuring, transition economies, market share, dynamic panel analysis |
| JEL: | O31 |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:sec:cnstan:0424&r=ino |
| By: | Ralf Meisenzahl; Joel Mokyr |
| Abstract: | During the Industrial Revolution technological progress and innovation became the main drivers of economic growth. But why was Britain the technological leader? We argue that one hitherto little recognized British advantage was the supply of highly skilled, mechanically able craftsmen who were able to adapt, implement, improve, and tweak new technologies and who provided the micro inventions necessary to make macro inventions highly productive and remunerative. Using a sample of 759 of these mechanics and engineers, we study the incentives and institutions that facilitated the high rate of inventive activity during the Industrial Revolution. First, apprenticeship was the dominant form of skill formation. Formal education played only a minor role. Second, many skilled workmen relied on secrecy and first-mover advantages to reap the benefits of their innovations. Over 40 percent of the sample here never took out a patent. Third, skilled workmen in Britain often published their work and engaged in debates over contemporary technological and social questions. In short, they were affected by the Enlightenment culture. Finally, patterns differ for the textile sector; therefore, any inferences from textiles about the whole economy are likely to be misleading. |
| JEL: | N13 N73 O31 O34 O43 |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:16993&r=ino |