WHY PATENT APPLICATIONS FAIL: QUANTIFYING THE ROLE OF ECONOMIC FORCES

Elise Petit and Bruno van Pottelsberghe de la Potter ()

No 2026-13, Working Papers ECARES from ULB -- Universite Libre de Bruxelles

Abstract: This paper introduces a new economic perspective on why patent applications fail. Using new data based on the content of patent office communications in 4,590 patent applications filed simultaneously in Europe, Japan, and the United States, it estimates that a third of non-granted applications are withdrawals likely caused by economic factors. Econometric models find that the economic factor is significantly more prevalent at the EPO and when the same invention is granted elsewhere. The prevalence of economic withdrawals questions the use of grant rates as indicators of examination stringency and underscores the need for broader applicant-based measures.

JEL-codes: L24 O31 O34 P14 (search for similar items in EconPapers)
Pages: 42 p.
Date: 2026-04-01
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Persistent link: https://EconPapers.repec.org/RePEc:eca:wpaper:2013/406226

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