1,721,207 research outputs found
Patents, Spillovers and Competition in Biotechnology
Full text linkI perform an event study on 600+ patents awarded primarily to 20 leading biotechnology firms and find significant changes in market values at the time of the awards. Adjusting for partial anticipation of events, I estimate that core technology patents in highly contested research areas are expected to generate between 21 million of economic value. They also generate spillover benefits for the patentee’s rivals—presumably including knowledge transfers—valued at 6 million per firm. Awardees may appropriate only half of private benefits, although I observe negative spillovers for some high-profile awards. Most patents have no significant market impact.
Is Distance Dying at Last? Falling Home Bias in Fixed Effects Models of Patent Citations
Full text linkWe examine the home bias of international knowledge spillovers as measured by the speed of patent citations (i.e. knowledge spreads slowly over international boundaries). We present the first compelling econometric evidence that the geographical localization of knowledge spillovers has fallen over time, as we would expect from the dramatic fall in communication and travel costs. Our proposed estimator controls for correlated fixed effects and censoring in duration models and we apply it to data on over two million citations between 1975 and 1999. Home bias declines substantially when we control for fixed effects: there is practically no home bias for the more modern sectors such as pharmaceuticals and information/communication technologies.
Valeur et obsolescence des brevets : une analyse des statistiques de renouvellement des brevets européens
No full textThe rate of obsolescence and the distribution
Of patent values : some evidence from european patent
Renewals
Mark Schankerman, Ariel Pakes
This paper presents econometric estimates of the rate of obsolescence and the distribution of the private value of holding patents. The estimates are derived by combining information on patent renewals and renewal fees in Europeen countries with a simple economic model of the renewal decision of patent holders. The model is applied to two sets of data the first covering four European countries during the period 1930-1939, and the second including all patent applications mode in France during 1950-1979. Two principal empirical findings emerge. First, the private rate of obsolescence is high, both from the prewar and the post-war data. Second, the distribution of the value of holding patents is sharply skewed to the right. More broadly, the results suggest the potential use of patent renewal data for measuring the value of patent rights in different sectors and countries and over time.Cette étude est une tentative pour estimer le taux d'obsolescence des revenus rapportés par un brevet, ainsi que la distribution de ces revenus. Les estimations sont fondées sur un modèle simple de renouvellement des brevets et sur deux ensembles de données :. le premier pour quatre pays européens sur les années 1930-1939, le second plus détaillé pour la France entre 1950 et 1979. On trouve principalement que le taux d'obsolescence des brevets est très élevé, aussi bien avant-qu'après-guerre, et que la valeur économique des brevets a une distribution très asymétrique, la plupart des brevets n'ayant qu'une valeur économique très faible. Les statistiques de renouvellement des brevets apparaissent ainsi comme une source d'information intéressante sur la distribution de leurs valeurs, pouvant permettre notamment des comparaisons entre pays et secteurs, et entre différentes périodes.Schankerman Mark, Pakes Ariel. Valeur et obsolescence des brevets : une analyse des statistiques de renouvellement des brevets européens. In: Revue économique, volume 36, n°5, 1985. pp. 917-942
Is distance dying at last? Falling home bias in fixed effects models of patent citations
No full textWe examine the home bias of international knowledge spillovers as measured by the speed of patent citations (i.e. knowledge spreads slowly over international boundaries). We present the first compelling econometric evidence that the geographical localization of knowledge spillovers has fallen over time, as we would expect from the dramatic fall in communication and travel costs. Our proposed estimator controls for correlated fixed effects and censoring in duration models and we apply it to data on over two million citations between 1975 and 1999. Home bias declines substantially when we control for fixed effects: there is practically no home bias for the more modern sectors such as pharmaceuticals and information/communication technologies
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Essays on Industrial Organization
Full text linkThis dissertation consists of three essays in the area of Industrial Organization. The first essay established the theoretical motivations for, and implications of, exclusive contracts, with an application to smartphones. Why would Apple choose to distribute its smartphone through only one carrier, and why would AT&T bid the most for exclusivity? I develop a model which shows that if upstream handset manufacturers face a relatively low price elasticity for their good compared to downstream wireless carriers, exclusive contracts can maximize their joint profits. An exclusive contract reduces price competition in the final good market but also increases returns to innovation for parties outside the contract, such as Google’s Android. Different price elasticities among downstream firms due to network quality differences lead to different valuations of the exclusive contract. The second essay estimates the relative elasticities of smartphone and carrier demand using simulation and MCMC methods on a detailed monthly dataset of consumer decisions over 2008-2010. Counterfactual simulations show the importance of recomputing the price equilibrium to understanding the observed market structure. Accounting for price effects, AT&T had the highest value of exclusivity with Apple, and was willing to compensate Apple 1B. The third essay uses data on US newspapers from the early 20th century to study the economic incentives that shape ideological diversity in the media. My co-authors and I show that households prefer newspapers whose political content agrees with their own ideology, that newspapers with the same political content are closer substitutes than newspapers with different political content, and that newspapers seek both to cater to household tastes and to differentiate from their competitors. We estimate a model of newspaper demand, entry, and affiliation choice that captures these forces. We show that competitive incentives greatly enhance the extent of ideological diversity in local news markets, and we evaluate the impact of policies designed to increase such diversity
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The Effects of the Russo-Ukrainian War on Moral and Civic Values
No full textI study the effect of the Russo-Ukrainian War on moral, social, and civic values by comparing survey data which I collected in Ukraine in November 2022 with data on the same survey questions gathered in previous waves of World Values Survey. I find a significant rise in “rational” or broadly socially liberal values, and a very large rise in civic and social values like belief in democracy and social activity. These findings are out of line with prior studies showing a rise in conservatism following wars but in line with a literature showing a growth in pro-social ingroup behaviour. I also survey respondents on their specific experience in the war, (e.g. an experience of being wounded vs. a seperate experience of losing their job). Similar results hold for a broad increase in the intensity of violence experienced but those who have only experienced economic impacts of the conflict, such as job loss, see a rise in conservatism and lower interest in civil society. I also see a diminished East-West regional divide. These results suggest that Ukrainian civil society is experiencing growing popular support and a increased pro-liberalism sentiment
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Essays in Finance and Industrial Organization
No full textThis dissertation explores the interaction of structural estimation in empirical industrial organization and applications in finance. In the first chapter, I introduce a dynamic model of transaction costs to estimate how much dispersion in 401(k) fees is explained by differences in markups between employer sponsors. In the second chapter, I introduce a model of private fund manager dynamics and investor allocation to study the value of relationships in private investments. The third chapter introduces an empirical model of portfolio allocation to study how beliefs and risk preferences drive variation in investor portfolios
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Identification and Characterization of Post-Merger Pharmaceutical Innovation
No full textWith increases in both pharmaceutical transactions and innovation metrics in the 21st century, as well as the emergence of headline therapies such as CRISPR and regenerative medicine, a question arises: are transactions catalyzing or hindering innovation? With a dataset of pharmaceutical mergers and acquisitions from Capital IQ, I dive into this question and assess the effects of these transactions on innovation. By implementing my own synthetic control package in Python and using data on approvals from the FDA, R&D expenditure from Capital IQ, and clinical trial data from the Clinical Drug Experience Knowledgebase (CDEK), I construct synthetic controls and conduct both difference-in-difference analyses and placebo tests. I find that transactions are associated with a 0.597 increase in FDA approvals (in excess of controls) and a 13.0% increase in R&D expenditures (in excess of controls) three years post-merger. By characterizing acquired companies by their science, I find that many successful transactions involved the acquisition of oncology companies. Further, a large proportion of transactions are characterized by scientific overlap between the acquired and acquiring firms and a desire to capture later stage innovation. Additionally, I find that 6 of 11 gene therapy products were developed by companies/labs that were acquired by or partnered with larger pharmaceutical companies before FDA approvals. My findings suggest that pharmaceutical transactions may have a positive effect on innovation and that acquiring firms are motivated to capture and complete already promising therapies in later stages of development
Going Beyond Counting First Authors in Author Co-citation Analysis
Full text linkThe present study examines one of the fundamental aspects of author co-citation analysis (ACA) - the way co-citation
counts are defined. Co-citation counting provides the data on which all subsequent statistical analyses and mappings
are based, and we compare ACA results based on two different types of co-citation counting - the traditional type that
only counts the first one among a cited work's authors on the one hand and a non-traditional type that takes into
account the first 5 authors of a cited work on the other hand. Results indicate that the picture produced through this non-traditional author co-citation counting contains more coherent author groups and is therefore considerably clearer. However, this picture represents fewer specialties in the research field being studied than that produced through the traditional first-author co-citation counting when the same number of top-ranked authors is selected and analyzed. Reasons for these effects are discussed
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