Innovation, Efficiency, Productivity and Intellectual Property Rights: Evidence from a BRIC Economy

The innovation, efficiency and productivity responses to the stronger protection of intellectual property rights post-TRIPs, with reference to manufacturing industry in India is studied. The fact that the post-TRIPs strengthening of IPRs in India were largely exogenous enables us to correct for endogeneity bias in estimation. Using 1995-2011 data, a significant increase is found in the annual rates of technical change, efficiency change, and productivity growth – about 3, 8 and 0.8 percentage points, respectively – post-reform. [CDE Working Paper No. 230]. URL:[http://www.cdedse.org/pdf/work230.pdf].