nep-ipr New Economics Papers
on Intellectual Property Rights
Issue of 2023‒06‒26
six papers chosen by
Giovanni Ramello
Università degli Studi del Piemonte Orientale “Amedeo Avogadro”

  2. The Effects of population growth on patents and economic growth dynamics By Rudra Narayan Kushwaha; Taniya Ghosh
  3. International Jurdisdiction Over Standard-Essential Patents By Henrik Horn
  4. The Least developed countries' TRIPS Waiver and the Strength of Intellectual Property Protection By Gnangnon, Sèna Kimm
  5. Enhancing competition in on-patent markets By Eliana Barrenho; Marjolijn Moens; Lisbeth Waagstein; Ruth Lopert
  6. IP assets and film finance - a primer on standard practices in the U.S. By Alexander Cuntz; Alessio Muscarnera; Prince C. Oguguo; Matthias Sahli

  1. By: Prem Kumar Agarwal
    Abstract: In this paper the researcher will be discussing the issues and challenges that have come up with respect to the protection of AI in IP laws. Before dealing with this segment the researcher would like to throw some lights on the conceptual framework, and widespread application of the emerging technology AI. The paper shall be concluded with some possible suggestive gestures. Key words: Concept of ARTIFICIAL INTELLIGENCE, personhood of ARTIFICIAL INTELLIGENCE, Scope of Intellectual Property Rights Protections
    Date: 2022–09
  2. By: Rudra Narayan Kushwaha (Indira Gandhi Institute of Development Research); Taniya Ghosh (Indira Gandhi Institute of Development Research)
    Abstract: The paper analyzes how patent-economic growth relationship changes as population dynamics change. The literature on this relationship has not focused on the role of population growth rate, despite data showing that countries' population growth trends have recently shifted from positive to declining and even negative. We obtain three main results: First, we derive unique growth maximizing patent protection policies for different population growth scenarios. When the population growth rate is above (exactly at) the critical value, the growth-maximizing patent breadth is incomplete (complete), with finite (infinite) patent length. However, when the population growth rate is negative and below the critical value, then growth-maximizing patent breadth can extend beyond complete. Second, our model validates Jones (2022)'s Empty Planet result, as the unique growth-maximizing patent protection policy exists, and thus the steady state per capita output growth exists even with a negative population growth rate. Third, our model predicts that a country with a lower rate of population growth should have a more stringent growth-maximizing patent protection policies than others. The findings suggest that while formulating growth-maximizing patent protection policies, countries should consider shifting population dynamics.
    Keywords: Economic Growth, Overlapping Generations Model, Patents, Physical Capital, Population, Variety Expansion Model
    JEL: O31 O34 O40
    Date: 2023–05
  3. By: Henrik Horn
    Abstract: Countries are alleged to pursue commercial interests through their antitrust interventions regarding FRAND commitments for standard-essential patents (SEPs). This paper examines pros and cons of allocating jurisdiction according to fundamental principles in international law, assuming that countries’ regulations promote national objectives. It shows why the Territoriality Principle yields too lenient treatment of patent-issuing countries’ SEPs, and too strict of treatment of other countries’ SEPs, and why the Nationality Principle yields too lenient treatment generally. Non-discrimination obligations can, but need not, improve on outcomes. Hence, existing international law will typically not implement efficient outcomes, suggesting that an international agreement is required.
    Keywords: Standard-essential patents, international jurisdiction, default rules
    JEL: F15 K21 K33 L40 O38
    Date: 2023–04
  4. By: Gnangnon, Sèna Kimm
    Abstract: Members of the World Trade Organization (WTO) have accorded many flexibilities to the least developed countries (LDCs) in the WTO's Trade-Related Intellectual Property (TRIPS) Agreement. A major LDC-specific flexibility in this Agreement that other developing country Members of the WTO do not enjoy has been the general transition period for the implementation of the Agreement, in view, inter alia, of their need for flexibility to create a viable technological base. The present article investigated whether this LDC-specific Waiver in the TRIPS Agreement genuinely helped LDCs reduce the strength of their Intellectual Property Protection (IPR), as expected. The analysis was carried out using the Difference-in-Difference framework, along with the within fixed effects and the 'Quantile via Moments' estimators. The panel dataset contains 24 LDCs (treatment group) and two control groups, over the period from 1970 to 2015. The first control group (the main one in the analysis) included 15 countries that had not been in the LDC category, but would not have met the criteria for graduating from the category of LDCs if they were included in the category. The second control group, used for robustness check, included 9 low-income countries that yet, were not LDCs, but were eligible to the Poverty Reduction and Growth Facility of the International Monetary Fund. The empirical analysis has established that the TRIPS Waiver was instrumental in reducing the IPR levels in LDCs, and LDCs that had lower IPR levels (i.e., those located in the lower quantiles) enjoy larger reductions in IPR levels, thanks to this Waiver. Moreover, the effect of the TRIPS Waiver on LDCs' IPR levels depended on LDCs' duration of the membership in the WTO, as well as on their level of innovation-driven export variety, measured by their level of export product concentration or alternatively their degree of economic complexity.
    Keywords: Least developed countries, TRIPS Waiver, World Trade Organization
    JEL: F13 O34
    Date: 2023
  5. By: Eliana Barrenho; Marjolijn Moens; Lisbeth Waagstein; Ruth Lopert
    Abstract: The 2018 OECD report Pharmaceutical Innovation and Access to Medicines noted that fostering competition in both on- and off-patent markets can improve the efficiency of pharmaceutical spending. Various policies are used to promote competition among off-patent medicines, but generally do not induce competition in on-patent markets. While tendering is widely used for hospital and other institutional purchasing, it is less common for ambulatory care medicines, or where medicines are reimbursed rather than supplied directly. As part of its broader work agenda on “Increasing the transparency of pharmaceutical markets to inform policies”, this paper explores how payers could harness competition to improve the efficiency of spending on medicines still subject to patent protection or regulatory exclusivity. The OECD undertook an extensive analysis consisting of two parts: 1) a quantitative analysis using product-level time series sales data to explore whether therapeutic competition occurs, and, if so, how it has affected prices and volumes over time, based on a sample of countries and therapeutic classes and 2) a review of current practices and policies on pricing, coverage and procurement of on-patent medicines to identify whether these have been influencing competition between alternative therapeutic products. This report presents the key findings from this analytical work.
    Date: 2023–06–09
  6. By: Alexander Cuntz; Alessio Muscarnera; Prince C. Oguguo; Matthias Sahli
    Abstract: This paper offers a primer on the basic economics of film finance and standard practices in the U.S. movie industry. It takes the U.S. movie industry as a case in point to study how excess risk and uncertainty around financing new projects are processed and managed by private sector entities and what market-based solutions are developed to prevent market failure. The paper summarizes the most common types of financial deals on the ground and reoccurring funding sources for new content production and distribution in the past twenty years. In particular, this research discusses the prominent role of intellectual property (IP) in financial transactions in the audiovisual sector. Research findings are based on a series of semi-structured interviews, commissioned expert memoranda, and a dedicated panel held with selected industry experts in November 2022. In addition, we conduct exploratory analysis and provide descriptive evidence on credit and intangible collateral use in the industry using data from Uniform Commercial Code (UCC) filings and official IP registers. In light of the digital transformation of the audiovisual sector, the research documents industry trends and the most recent changes in the financing of U.S. film. We conclude with an outline of generic policy options for an upgrade of the financing environment in the U.S. and beyond.
    Keywords: Movie industry, finance, intellectual property, collateral, loan, digitization
    JEL: G20 L82 O34 Z11
    Date: 2023–05

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