Patent Protection, Complementary Assets, and Firms' Incentives for Technology Licensing

Patent Protection, Complementary Assets, and Firms' Incentives for Technology Licensing

Patent Protection, Complementary Assets, and Firms' Incentives for Technology Licensing

This paper analyzes the relationship between technology licensing and the effectiveness of patent protection. Using the 1994 Carnegie Mellon survey on industrial R&D in the United States, we develop and test a simple structural model in which the patenting and licensing decisions are jointly determined.

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