Appropriate IPRs, Human Capital Composition and Economic Growth

Fabio Manca

No 200914, IREA Working Papers from University of Barcelona, Research Institute of Applied Economics

Abstract: We generalize a standard technology diffusion model by allowing for IPRs regimes to be endogenously defined by the development level of each country. Also we insert differences in the composition of human capital between North (leader) and South (followers) which shape the relative costs of innovation and imitation. Results show how an optimal growth trajectory is found for the follower country which initially imitates and that, once a "threshold development stage" is reached, optimally switches to innovation by fully enforcing IPRs achieving a higher proximity with the technology frontier in the long-run. Other scenarios, such as a premature increase in the enforcement of IPRs or a switch from imitation to innovation at early stages of development of the followers are found to be sub-optimal.

Keywords: IPRs; Human capital; Technology transfer. (search for similar items in EconPapers)
Pages: 33 pages
Date: 2009-06, Revised 2009-06
New Economics Papers: this item is included in nep-dev, nep-hrm and nep-ino
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Citations: View citations in EconPapers (22)

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Persistent link: https://EconPapers.repec.org/RePEc:ira:wpaper:200914

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