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Patent Protection Policy and Firms’ Green Technology Innovation: Mediating Roles of Open Innovation and Human Capital

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  • Dong Chen

    (School of Economics, Southwestern University of Finance and Economics, Chengdu 611130, China)

  • Shi Chen

    (School of Economics, Southwestern University of Finance and Economics, Chengdu 611130, China)

Abstract

Green innovations such as renewable energy technologies and cleaner process modifications are important technical routes and critical directions for reducing carbon emissions from industrial production processes. This study examines the impact of intellectual property protection on green technology innovation, constructing a progressive difference-in-differences model using 849 listed manufacturing firms panel data from 2007 to 2019 and taking the Chinese Intellectual Property Rights model cities as a quasi-natural experiment. Our study finds that the pilot policy significantly enhances corporate green innovation. When considering heterogeneity, the policy treatment effect is more remarkable for large firms, state-owned enterprises, and industries where technology can be easily imitated. Moreover, the mediating effect shows that the policy promotes green innovation by encouraging firms’ research and development cooperation and increasing human capital levels. This study proposes that policymakers should reinforce intellectual property protection, encourage companies to be better and bigger, and emphasize the intermediary function of open innovation and human capital in green technology innovation.

Suggested Citation

  • Dong Chen & Shi Chen, 2024. "Patent Protection Policy and Firms’ Green Technology Innovation: Mediating Roles of Open Innovation and Human Capital," Sustainability, MDPI, vol. 16(5), pages 1-17, March.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:5:p:2217-:d:1352512
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    2. Galyna Malynovska & Jan Pawlik & Galyna Kis & Radosław Wolniak & Sviatoslav Kis & Oleh Yatsiuk & Michał Bembenek, 2025. "Methodology and Practical Test of Human Capital Assessment of Ukrainian Oil and Gas Enterprises in the Context of Sustainable Development," Sustainability, MDPI, vol. 17(6), pages 1-23, March.

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