TY  - JOUR
AU  - Arora,Ashish
AU  - Ceccagnoli,Marco
AU  - Cohen,Wesley M.
TI  - R&D and the Patent Premium
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 9431
PY  - 2003
Y2  - January 2003
UR  - http://www.nber.org/papers/w9431
L1  - http://www.nber.org/papers/w9431.pdf
N1  - Author contact info:
Ashish Arora
Fuqua School of Business
Duke University
Box 90120
Durham, NC 27708-0120
Tel: 919 660 7746
Fax: 919 684-2818
E-Mail: ashish.arora@duke.edu

Marco Ceccagnoli
Georgia Institute of Technology
College of Management
800 West Peachtree Street, NW
Atlanta
GA 30308
USA
Tel: 404-385-2233
Fax: 404-894-6030
E-Mail: marco.ceccagnoli@mgt.gatech.edu

Wesley M. Cohen
The Fuqua School of Business
Duke University
Box 90120
Durham, NC 27708-0120
Tel: 919-451-9770
Fax: NA
E-Mail: wcohen@duke.edu
AB  - We analyze the effect of patenting on R&D with a model linking a firm's R&D effort with its decision to patent, recognizing that R&D and patenting affect one another and are both driven by many of the same factors. Using survey data for the U.S. manufacturing sector, we estimate the increment to the value of an innovation realized by patenting it, and then analyze the effect on R&D of changing that premium. Although patent protection is found to provide a positive premium on average in only a few industries, our results also imply that it stimulates R&D across almost all manufacturing industries, with the magnitude of that effect varying substantially.
ER  -