Product innovation and parallel trade

被引:20
作者
Li, Changying
Robles, Jack
机构
[1] Victoria Univ Wellington, Sch Econ & Finance, Wellington, New Zealand
[2] Nankai Univ, Inst Econ, Tianjin 300071, Peoples R China
关键词
parallel imports; parallel trade; product innovation;
D O I
10.1016/j.ijindorg.2006.03.007
中图分类号
F [经济];
学科分类号
02 ;
摘要
We study the dependence of incentives for product innovation on the presence, or absence, of parallel trade. The common assertion is that the presence of parallel trade lowers the incentive for product innovation. Our results support this assertion for some parameter values. However, there are cases in which the presence of parallel trade increases research intensity. For this to occur the innovating firm must already produce and export another good. Further, the new good and the old must be close substitutes and have different transportation costs. (c) 2006 Elsevier B.V. All rights reserved.
引用
收藏
页码:417 / 429
页数:13
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