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on Intellectual Property Rights |
| By: | Richards, Timothy J.; Rickard, Bradley |
| Abstract: | Enabled by the Bayh-Dole Act (1980), universities license access to innovations protected by US patents. Despite the growing importance of license revenue to cash- strapped land-grant universities that generate a large share of agricultural innovations, there has been no formal attempt to determine an optimal pricing strategy for patent licenses. We recognize that patents are options on the stream of future revenues, and apply option-valuation techniques to determine optimal pricing strategies for university technology o¢ cers. We nd that path-dependency in license revenue streams creates signi cant di¤erences in the optimal pricing strategy relative to more standard risk- neutral pricing models, but that path-dependent pricing more nearly approximates ob- served patent prices. While non-path dependent prices yield conventional sensitivities to volatility, mean-reversion and returns-growth, path-dependent prices show highly non-linear comparative statics. These results are important both for patent licensees, and for licensors seeking to maximize license revenue. |
| Keywords: | apples, patents, option pricing, Bayh-Dole Act, innovation, licenses, option valuation, path-dependency, Industrial Organization, D45, G12, L24, Q16, |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea13:149725&r=ipr |
| By: | Zhou, Minyu; Sheldon, Ian |
| Keywords: | Agribusiness, Crop Production/Industries, |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea13:150244&r=ipr |
| By: | Christoph Engel (Max Planck Institute for Research on Collective Goods, Bonn); Marco Kleine (Max Planck Institute for Research on Collective Goods, Bonn) |
| Abstract: | In the policy debate, intellectual property is often justified by what seems to be a straightforward argument: if innovators are not protected against others appropriating their ideas, incentives for innovation are suboptimally low. Now in most industries for most potential users, appropriating a foreign innovation is itself an investment decision fraught with cost and risk. Nonetheless standard theory predicts too little innovation. Arguably the problem is exacerbated by innovators’ risk aversion as well as their aversion against others benefitting from their efforts without contributing to the cost, and without bearing innovation risk. We model the situation as a game and test it in the lab. We find even more appropriation than predicted by standard theory. But the risk and the experience of appropriation does not deter innovation. We find even more innovation than predicted by theory, and actually more than would be efficient. In the lab, the prospect of givingimitators a free lunch does not have a chilling effect on innovation. |
| Keywords: | Innovation, imitation, appropriation, patent, fairness of desert |
| JEL: | H41 O31 D63 K11 C91 D62 H23 L17 D22 |
| Date: | 2013–05 |
| URL: | http://d.repec.org/n?u=RePEc:mpg:wpaper:2013_07&r=ipr |
| By: | Arias Ortiz, Elena (Education Division, Inter-American Development Bank); Crespi, Gustavo (Competitiveness and Innovation Division, Inter-American Development Bank); Tacsir, Ezequiel (UNU-MERIT / MGSoG, and Competitiveness and Innovation Division, Inter-American Development Bank); Vargas, Fernando (Competitiveness and Innovation Division, Inter-American Development Bank); Zuniga, Pluvia (UNU-MERIT / MGSoG) |
| Abstract: | In this paper, a wide range of innovation indicators are analysed in order to describe the innovation behaviour of manufacturing firms in LAC using the recently released Enterprise Surveys 2010. The Enterprise Surveys define innovation rates as the share of firms introducing product and process innovations. The survey also measures the proportion of firms investing in research and development (R&D) and filing for intellectual property rights (IPRs). The aim of this note is to understand the main characteristics of innovative firms and to gather new evidence with regard to the nature of the innovation process in the region. Statistics about the performance of LAC firms are provided using different types of indicators to measure firms' innovative behaviour. In particular, differences in innovation performance and effort by country, sector, and key firm characteristics, such as being a multinational or exporter, are explored. Those firms in LAC that are top R&D performers are identified, and the analysis closes with an exploration of firm characteristics that strongly correlate with the probability of being a top R&D performer in the region. |
| Keywords: | innovation, research and development, Latin America, enterprise surveys |
| JEL: | D22 O31 O33 O34 |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:unumer:2013028&r=ipr |
| By: | Brett Danaher; Michael D. Smith; Rahul Telang |
| Abstract: | Much debate exists around the impact that illegal file sharing may have on the creative industries. Similarly, opinions differ regarding whether the producers of artistic works should be forced to accept any weakening of intellectual property rights resulting from illegal file sharing, or if governments should intervene to protect these rights. This chapter seeks to inform these questions by outlining what we do and do not know from existing academic research. We first discuss whether filesharing displaces sales of media goods and then discuss whether such displacement will lead to reduced incentives to produce new creative works. We continue by summarizing recent findings on what businesses can do to compete with piracy and the effectiveness of anti-piracy interventions on encouraging consumers to migrate from illegal to legal consumption channels. We conclude by demonstrating that without additional empirical evidence, it will be difficult to determine the socially optimal set of strategies and government copyright policies in the digital era. |
| JEL: | D69 L1 L11 L8 L82 M31 O30 |
| Date: | 2013–06 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:19150&r=ipr |
| By: | Jang, Heesun; Du, Xiaodong |
| Abstract: | Employing the patent data over 1977-2011, this study explores the factors determining innovative activities in the US ethanol industry. We take into account both demand-side and supply-side factors, the latter of which is represented by constructed knowledge stocks, to quantify the effects of price- and policy-induced innovations. We quantify the citation generation process using patent citations and construct the simple and weighted stocks of knowledge with weights of patent productivity. We confirm that both the supply-the demand-side factors, such as knowledge stock, crude oil price and government R&D expenditure, have positive and statistically significant effects on the technological innovations of biofuels in the United States. |
| Keywords: | knowledge stock, patent count and citation, R&D expenditure, Demand and Price Analysis, Research and Development/Tech Change/Emerging Technologies, Resource /Energy Economics and Policy, Q16, Q42, Q48, |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea13:150132&r=ipr |
| By: | Rickard, Bradley J.; Richards, Timothy J.; Yan, Jubo |
| Abstract: | There has been a sharp increase in the number of patented fruit varieties developed by breeding programs at public universities in the United States. We developed an experiment to examine the revenue stream to universities from the licensing of these varietal innovations. In the experiment we asked subjects to bid for access for a patented input that would be used to manufacture a differentiated product; treatments were employed to solicit bids that were financed by fees, royalties, and a combination of the two mechanisms under exclusive and non-exclusive contracts. All treatments also considered the impact of demand uncertainty for the product that used the patented input. Our empirical results suggest that innovator revenues are greatest when royalties are used alone. In the absence of demand uncertainty, innovator revenues are greatest with an exclusive contract, but with demand uncertainty innovator revenues are greatest with non-exclusive contracts. |
| Keywords: | Agribusiness, Agricultural and Food Policy, |
| Date: | 2013–06 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea13:150204&r=ipr |
| By: | Gondek, Christian; Heinemann, Stefan |
| Abstract: | -- |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:fomarb:35&r=ipr |
| By: | Ahmad, Waseem; Anders, Sven; Marcoul, Philippe |
| Abstract: | This paper develops and tests different theoretical models of competition in a vertically linked market assuming different production arrangements for retailer private label brands (PL). We then empirical estimate retailer manufacturer competitive behavior based on best-fit games and determine the impact of PL production arrangements on pricing strategies for PLs and NBs. Retailers are using different production arrangements to produce PL products. In fact, a retailer may own a production facility, a national brand manufacturer (NB) produces the PL product exclusively for the retailer or the retailer outsources PL production to a non-NB manufacturer. These possible, different production arrangements can have significant implications for the competitive interactions and market outcomes between retailers and NB manufacturers. Existing economic literature has identified a significant degree of variation in the type of competitive interactions across grocery product categories. However, the majority empirical studies in IO have typically imposed assumptions about the nature of vertical production arrangement without formally and explicitly investigating the nature of PL-NB competitive interaction under different production arrangements. The analysis builds on the Non-Nested Model Comparison (NNMC) approach and employs weekly store-level retail scanner data, for a major North American retail chain. The findings from different theoretical models and their empirical application reveal that no consistent pattern of competitive interactions exists between PLs and NBs across different food product categories. Competitive patterns and outcomes vary depending on the nature of the PL production arrangement. Our study contributes to the IO literature by being the first to consistently derive and estimate the impact of PL production arrangement on brand-level competition. |
| Keywords: | Competition, Bertrand Nash, Stackelberg leader follower, Non-Nested Model Comparison, Canadian retail level, Private label, National brand, Production arrangements, Consumer/Household Economics, Marketing, Production Economics, |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea13:150749&r=ipr |