nep-ipr New Economics Papers
on Intellectual Property Rights
Issue of 2024–11–18
two papers chosen by
Giovanni Battista Ramello, Università di Turino


  1. Trade, innovation and optimal patent protection By David Hémous; Simon Lepot; Thomas Sampson; Julian Schärer
  2. Artificial intelligence for climate change: a patent analysis in the manufacturing sector By Podrecca, Matteo; Culot, Giovanna; Tavassoli, Sam; Orzes, Guido

  1. By: David Hémous; Simon Lepot; Thomas Sampson; Julian Schärer
    Abstract: Intellectual property rights are a recurrent source of tensions between developed and developing economies. This paper provides the first quantitative analysis of optimal patent policy in trading economies. We develop a new model of trade, growth and patenting in which patent protection affects both innovation and market power. The model is estimated using data on patent applications to calibrate patent protection by country and the geography of innovation. Counterfactual analysis yields three main results. First, the potential gains from international cooperation over patent policies are large. However, achieving these gains requires more innovative economies to offer stronger protection. Second, only a small share of these gains has been realized so far. And third, by pushing towards policy harmonization, the TRIPS agreement hurts developing countries without generating global welfare gains. Overall, there is substantial scope for policy reforms to increase efficiency.
    Date: 2024–09
    URL: https://d.repec.org/n?u=RePEc:zur:econwp:456
  2. By: Podrecca, Matteo (University of Bergamo); Culot, Giovanna (University of Udine); Tavassoli, Sam (Deakin University); Orzes, Guido (Free University of Bozen-Bolzano)
    Abstract: This study analyzes the current state of artificial intelligence (AI) technologies for addressing and mitigating climate change in the manufacturing sector and provides an outlook on future developments. The research is grounded in the concept of general-purpose technologies (GPTs), motivated by a still limited understanding of innovation patterns for this application context. To this end, we focus on global patenting activity between 2011 and 2023 (5, 919 granted patents classified for “mitigation or adaptation against climate change” in the “production or processing of goods”). We examined time trends, applicant characteristics, and underlying technologies. A topic modeling analysis was performed to identify emerging themes from the unstructured textual data of the patent abstracts. This allowed the identification of six AI application domains. For each of them, we built a network analysis and ran growth trend and forecasting models. Our results show that patenting activities are mostly oriented toward improving the efficiency and reliability of manufacturing processes in five out of six identified domains (“predictive analytics”, “material sorting”, “defect detection”, “advanced robotics”, and “scheduling”). Instead, AI within the “resource optimization” domain relates to energy management, showing an interplay with other climate-related technologies. Our results also highlight interdependent innovations peculiar to each domain around core AI technologies. Forecasts show that the more specific technologies are within domains, the longer it will take for them to mature. From a practical standpoint, the study sheds light on the role of AI within the broader cleantech innovation landscape and urges policymakers to consider synergies. Managers can find information to define technology portfolios and alliances considering technological co-evolution.
    Keywords: artificial intelligence; AI; climate change; sustainability; patent analysis; technology foresight
    JEL: O14 O31 O32 O33 O34
    Date: 2024–10–21
    URL: https://d.repec.org/n?u=RePEc:hhs:lucirc:2024_012

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