International patent protection and trade: Transaction-level evidence

Gaétan de Rassenfosse (), Marco Grazzi, Daniele Moschella () and Gabriele Pellegrino

European Economic Review, 2022, vol. 147, issue C

Abstract: We report a hitherto undocumented causal mechanism of how patent protection affects exports. The empirical analysis leverages unique data on the worldwide patenting and exporting activities at the product level for the universe of French firms. Exploiting heterogeneity of patent coverage within firm–product–country destinations, we find evidence of a patent premium. Goods protected by patents in a destination country are associated with higher export quantities, ceteris paribus. The effect ranges between four and eleven percent. The causality of the finding is confirmed using rejected patent applications, which are exogenous to the firm. Exports collapse when firms lose patent protection.

Keywords: Export; Patents; Products; Intellectual property rights; Innovation (search for similar items in EconPapers)
JEL-codes: D22 F10 F14 O30 O34 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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Related works:
Working Paper: International Patent Protection and Trade: Transaction-Level Evidence (2020)
Working Paper: International Patent Protection and Trade: Transaction-Level Evidence (2020)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:eecrev:v:147:y:2022:i:c:s0014292122000897

DOI: 10.1016/j.euroecorev.2022.104160

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