Innovation α: What Do IP-Intensive Stock Price Indexes Tell Us about Innovation?

Carol Corrado, David Martin and Qianfan Wu

AEA Papers and Proceedings, 2020, vol. 110, 31-35

Abstract: Patents and other intellectual property (IP) have grown in relative importance in investments and market capitalizations of public firms (e.g., Corrado and Hulten 2010). This paper illustrates the construction of IP-intensive stock price indexes, focusing on a network analysis tool (Martin 2001, Winer et al. 2003, Luse and Martin 2014) that helps pinpoint firms that are most likely to generate value from their intangible assets. The analysis finds that (a) stock price indexes constructed using the tool yield above-average returns and (b) stock prices of US companies in two tech-driven sectors outperform non-US firms despite lower average patent portfolio valuations.

JEL-codes: D22 G12 O31 O34 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.aeaweb.org/doi/10.1257/pandp.20201056 (application/pdf)
http://doi.org/10.3886/E117423V1 (text/html)
https://www.aeaweb.org/doi/10.1257/pandp.20201056.appx (application/pdf)
https://www.aeaweb.org/doi/10.1257/pandp.20201056.ds (application/zip)
Access to full text is restricted to AEA members and institutional subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aea:apandp:v:110:y:2020:p:31-35

Ordering information: This journal article can be ordered from
https://www.aeaweb.org/subscribe.html

DOI: 10.1257/pandp.20201056

Access Statistics for this article

AEA Papers and Proceedings is currently edited by William Johnson and Kelly Markel

More articles in AEA Papers and Proceedings from American Economic Association Contact information at EDIRC.
Bibliographic data for series maintained by Michael P. Albert ().