6533b871fe1ef96bd12d1a88
RESEARCH PRODUCT
On the Returns to Invention within Firms: Evidence from Finland
Ari HyytinenOtto ToivanenUfuk AkcigitPhilippe Aghionsubject
JEL: O - Economic Development Innovation Technological Change and Growth/O.O3 - Innovation • Research and Development • Technological Change • Intellectual Property Rights/O.O3.O34 - Intellectual Property and Intellectual CapitalINNOVATIONPatent applicationvoitotJEL: L - Industrial Organization/L.L2 - Firm Objectives Organization and Behavior/L.L2.L25 - Firm Performance: Size Diversification and Scope0502 economics and business050602 political science & public administrationdistribution of profits050207 economicsJEL: D - Microeconomics/D.D2 - Production and Organizationsta511keksinnötinventions05 social sciencesprofitsvoitot (talous)General MedicineIndividual incomeJEL: G - Financial Economics/G.G3 - Corporate Finance and Governance/G.G3.G32 - Financing Policy • Financial Risk and Risk Management • Capital and Ownership Structure • Value of Firms • Goodwill[SHS.ECO]Humanities and Social Sciences/Economics and Financeyritykset0506 political science8. Economic growthJEL: L - Industrial Organization/L.L2 - Firm Objectives Organization and Behavior/L.L2.L26 - EntrepreneurshipDemographic economicsBusinessJEL: O - Economic Development Innovation Technological Change and Growth/O.O3 - Innovation • Research and Development • Technological Change • Intellectual Property Rights/O.O3.O31 - Innovation and Invention: Processes and IncentivesenterprisesMerge (version control)voitonjakodescription
International audience; In this paper we merge individual income data, firm-level data, patenting data, and IQ data in Finland over the period 1988–2012 to analyze the returns to invention for inventors and their coworkers or stakeholders within the same firm. We find that: (i) inventors collect only 8 percent of the total private return from invention; (ii) entrepreneurs get over 44 percent of the total gains; (iii) bluecollar workers get about 26 percent of the gains and the rest goes to white-collar workers. Moreover, entrepreneurs start with significant negative returns prior to the patent application, but their returns subsequently become highly positive.
| year | journal | country | edition | language |
|---|---|---|---|---|
| 2018-05-01 |