Domestic patent rights, access to technologies and the structure of exports

Recent years have seen major reforms in patent laws around the world. We study the effects of variations over time and across countries in the strength of domestic patent rights (PRs) on exports in high-R&D goods. Adopting a generalized factor-proportions framework, we interact industry research intensity with national PRs. Countries with stronger PRs have significantly greater exports in research-intensive sectors. These effects are positive in emerging and developing economies but smaller than in developed economies. The sensitivity of high-R&D exports to PRs rises with inward flows of patent applications, FDI employment and intra-firm trade with multinational firms.