|
on Technology and Industrial Dynamics |
|
Issue of 2014‒07‒13
four papers chosen by Fulvio Castellacci Norwegian Institute of International Affairs (NUPI) |
| By: | Alberto Galasso; Mark Schankerman |
| Abstract: | Cumulative innovation is central to economic growth. Do patent rights facilitate or impede follow-on innovation? We study the causal effect of removing patent rights by court invalidation on subsequent research related to the focal patent, as measured by later citations. We exploit random allocation of judges at the U.S. Court of Appeals for the Federal Circuit to control for endogeneity of patent invalidation. Patent invalidation leads to a 50 percent increase in citations to the focal patent, on average, but the impact is heterogeneous and depends on characteristics of the bargaining environment. Patent rights block downstream innovation in computers, electronics and medical instruments, but not in drugs, chemicals or mechanical technologies. Moreover, the effect is entirely driven by invalidation of patents owned by large patentees that triggers more follow-on innovation by small firms. |
| JEL: | O33 O34 |
| Date: | 2014–06 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:20269&r=tid |
| By: | Valeria Costantini (Department of Economics, Roma Tre University, Roma (Italy).); Francesco Crespi (Department of Economics, Roma Tre University, Roma (Italy).); Ylenia Curci (Department of Economics, Roma Tre University, Roma (Italy).) |
| Abstract: | In this paper we propose an innovative methodology that aims to solve drawbacks related to how patent data are allocated and organized in international databases. We propose as a case study the biofuels sector, in order to evaluate the validity of such a method. Starting with a systematic mapping of biofuels production value chain, we have built a comprehensive description of the biofuels technological domain. The resulting list of keywords relies on an iterative selection approach, based on an analysis of recent scientific literature combined with the keyword search tool developed by Scopus. The final patent database, BioPat, has been finalized by a validation procedure with the help of expert interviews, revealing improved accuracy compared with standard IPC-based codes. Collected information in BioPat allows us to derive more intriguing insights on the characteristics and evolution of technological patterns in the biofuels sector with respect to standard classification methods. |
| Keywords: | patents classification, keyword selection, innovation patterns, liquid biofuels, knowledge complexity. |
| JEL: | O31 O33 Q42 |
| Date: | 2014–06 |
| URL: | http://d.repec.org/n?u=RePEc:srt:wpaper:1714&r=tid |
| By: | Flach, Lisandra; Irlacher, Michael |
| Abstract: | This paper studies the innovation strategies of multi-product firms in industries with different scope for product differentiation. In a simple model of multi-product firms, we show that returns to product versus process innovation are industry-specific. Demand and cost linkages induce a natural distinction between the returns to product and process innovation. In highly differentiated industries, the cannibalization effect is lower and, therefore, firms invest more in product innovation. In homogeneous industries, firms internalize intra-firm spillover effects and invest more in process innovation. We test the predictions from the model using Brazilian firm-level data, with information on investment efforts over time. Following a major exchange rate devaluation, firms have better access to foreign markets and exploit economies of scale in innovation. However, detailed information on product and process innovation allows us to evaluate differential effects across industries. We con.rm the predictions from the theoretical model and show that the type of innovation depends on the industry scope for differentiation. |
| Keywords: | Multi-Product Firms; Innovation; Product Differentiation; Cannibalization Effect; Spillovers; Globalization |
| JEL: | F12 F14 L25 |
| Date: | 2014–06–25 |
| URL: | http://d.repec.org/n?u=RePEc:lmu:muenec:21022&r=tid |
| By: | Caroline Mothe; Uyen T. Nguyen-Thi; Phu Nguyen-Van |
| Abstract: | We empirically investigate the pattern of complementarity between four organizational practices. Firm-level data were drawn from the Community Innovation Survey (CIS) carried out in 2008 in Luxembourg. Supermodularity tests confirm the crucial role of organizational innovation in raising firms’ technological innovation. The pattern of complementarity between organizational practices differs according to the type of innovation, i.e. product or process innovation, but also according to whether the firm is in the first stage of the innovation process (i.e. being innovative or not) or in a later stage (i.e. innovation performance in terms of sales of new products). |
| Keywords: | Complementarity, Organizational innovation, Substitution, Supermodularity, Technological innovation. |
| JEL: | D22 O32 |
| Date: | 2014 |
| URL: | http://d.repec.org/n?u=RePEc:ulp:sbbeta:2014-12&r=tid |