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Legal enforcement against illegal imitation in developing countries

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  • Keishun Suzuki

Abstract

This study investigates the effect of intellectual property rights (IPR) enforcement in a developing country on imitation, innovation, economic growth, and welfare using a North–South quality ladder model. Unlike existing studies, this study explicitly distinguishes IPR protection and IPR enforcement by incorporating illegal imitation and seizure activity into the model. The four main results are, first, a higher seizure rate does not always decrease imitation rate in the South. Second, a higher seizure rate does not always encourage innovation in the North. Third, although a sufficiently high seizure rate is required to enhance economic growth, such a policy reform would deteriorates welfare in both the North and South. Finally, unlike seizure, prohibiting imports of illegal imitations from the South always lowers illegal imitation. Copyright Springer-Verlag Wien 2015

Suggested Citation

  • Keishun Suzuki, 2015. "Legal enforcement against illegal imitation in developing countries," Journal of Economics, Springer, vol. 116(3), pages 247-270, November.
    • Handle: RePEc:kap:jeczfn:v:116:y:2015:i:3:p:247-270
    DOI: 10.1007/s00712-015-0436-6
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    Cited by:

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    3. Akimoto, Kiyoka & Morimoto, Takaaki, 2020. "Examination and Approval of New Patents in an Endogenous Growth Model," Economic Modelling, Elsevier, vol. 91(C), pages 100-109.

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    More about this item

    Keywords

    Illegal imitation; Intellectual property rights enforcement; Import prohibition; F43; O34; L51;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital

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