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Intellectual property protection, innovation, and knowledge diffusion

In: Elgar Encyclopedia on the Economics of Knowledge and Innovation

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  • Mehmet Ugur

Abstract

This entry reviews the theoretical and empirical evidence on whether intellectual property protection (IPP) encourages innovation and knowledge/technology diffusion. The findings indicate that IPP may be necessary for addressing the non-appropriability of innovation outcomes, but the expected gains from IPP may remain elusive due to cumulative nature of innovation and the private inventors' strategic reactions to the intellectual property regimes. Supported by theoretical, econometric, and historical evidence, the findings indicate that the sanguine claims about the benefits of IPP encountered in the 'advocacy literature' are biased.

Suggested Citation

  • Mehmet Ugur, 2022. "Intellectual property protection, innovation, and knowledge diffusion," Chapters, in: Cristiano Antonelli (ed.), Elgar Encyclopedia on the Economics of Knowledge and Innovation, chapter 32, pages 264-270, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:19760_32
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