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The Impacts of Counterfeiting on Corporate Investment

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  • Alexander Cuntz (a) And Yi Qian (b)

    ((a) World Intellectual Property Organization, Switzerland; (b) University of British Columbia, Canada)

Abstract

This study uses a unique international database on customs seizures between the years 2011 to 2013 and matched corporate statistics to study the impacts of counterfeiting on authentic corporations’ investment and revenues. Applying the matched sampling combined with panel analyses, we attempt to estimate the effects counterfeit incidences have on corporate research investment and on firm sales and revenues (“sales displacement”) in various industries. We find an overall negative effects on the R&D and net sales across various regression specifications, with a rare positive effect documented in the regression for the broad sector of tools, materials, and vehicles (HS code 8)

Suggested Citation

  • Alexander Cuntz (a) And Yi Qian (b), 2021. "The Impacts of Counterfeiting on Corporate Investment," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 46(2), pages 1-40, June.
    • Handle: RePEc:jed:journl:v:46:y:2021:i:2:p:1-40
    DOI: 10.35866/caujed.2021.46.2.001
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    More about this item

    Keywords

    Counterfeiting; International Customs Data; R&D Investments; Cross-industry;
    All these keywords.

    JEL classification:

    • F61 - International Economics - - Economic Impacts of Globalization - - - Microeconomic Impacts
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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