Are Intellectual Property Rights Detrimental to Innovation?

Claude Crampes and Corinne Langinier

International Journal of the Economics of Business, 2009, vol. 16, issue 3, 249-268

Abstract: Intellectual property rights are legal constraints that limit conditions of entry in industries where incumbents are innovators. The set of legal constraints is the same for all industries, and there is no consideration of the possibility that the externalities created by entry in a given industry may not necessarily be negative for the incumbent, or that the incumbent's R&D expenditures might actually be detrimental to new entrants. We show that one unique set of legal rules can foster innovation in some industries and be detrimental in others. Our model is illustrated by case studies from the Information and Communication Technologies industry.

Keywords: Innovation; Spillover; Leadership; Intellectual Property Rights (search for similar items in EconPapers)
Date: 2009
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Citations: View citations in EconPapers (4)

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Working Paper: Are Intellectual Property Rights Detrimental to Innovation? (2005)
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DOI: 10.1080/13571510903227007

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