Do Stronger Patents Induce More Innovation? Evidence from the 1988 Japanese Patent Law Reforms

Posted: 11 Oct 2000

See all articles by Mariko Sakakibara

Mariko Sakakibara

University of California, Los Angeles (UCLA) - Anderson School of Management

Lee Branstetter

Carnegie Mellon University - H. John Heinz III School of Public Policy and Management; National Bureau of Economic Research (NBER)

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Abstract

Does an expansion of patent scope induce more innovative effort by firms? We examine responses to the Japanese patent reforms of 1988. Interviews with practitioners and professional documents for patent agents suggest the reforms significantly expanded the scope of patent rights. However, econometric analysis using both Japanese and U.S. patent data on 307 Japanese firms finds no evidence of an increase in either R&D spending or innovative output which could be plausibly attributed to patent reform.

JEL Classification: O34, O32, L51

Suggested Citation

Sakakibara, Mariko and Branstetter, Lee, Do Stronger Patents Induce More Innovation? Evidence from the 1988 Japanese Patent Law Reforms. Available at SSRN: https://ssrn.com/abstract=239932

Mariko Sakakibara (Contact Author)

University of California, Los Angeles (UCLA) - Anderson School of Management ( email )

110 Westwood Plaza
Los Angeles, CA 90095-1481
United States
310-825-7831 (Phone)

Lee Branstetter

Carnegie Mellon University - H. John Heinz III School of Public Policy and Management ( email )

Pittsburgh, PA 15213-3890
United States

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

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