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International Technology Transfer and Per-Unit Royalties

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  • Wright, Donald J

Abstract

This paper develops a model in which the mode of technology transfer is endogenous. Per-unit royalties play an important role in license contracts by limiting the competition a licensor faces from a licensee. It is shown that licensing may be the preferred mode of technology transfer even though it creates a competitor. In the case where market share restriction can be used in license contracts it is shown that licensing dominates other modes of technology transfer. Copyright 1993 by Blackwell Publishers Ltd/University of Adelaide and Flinders University of South Australia

Suggested Citation

  • Wright, Donald J, 1993. "International Technology Transfer and Per-Unit Royalties," Australian Economic Papers, Wiley Blackwell, vol. 32(60), pages 11-19, June.
    • Handle: RePEc:bla:ausecp:v:32:y:1993:i:60:p:11-19
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    Cited by:

    1. Susanne Droege & Birgit Soete, 2001. "Trade-Related Intellectual Property Rights, North-South Trade, and Biological Diversity," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 19(2), pages 149-163, June.

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