The Protection Of Intellectual Property Right And The Difference Of Technology Selection

At present,China is in the critical period of economic structural transformation.Whether it can cross the "middle income trap" and catch up with developed countries in technology and economic has become the core issue of development.However,the key to economic transformation and upgrading is to choice and develop what kind of technology in micro-technology,the key factors affecting the choice of technology include institutional arrangements and market demand.Therefore,considering technical choice from the institutional arrangements and market demand level has an important theory and practical significance.At the theoretical level,this paper combs the mechanism of intellectual property,market size and technology choice.This paper analyzes the impact of intellectual property protection on the selection of technology in developing countries from the perspective of market size based on the theory of new institutional economics,by introducing the IV intellectual property protection and technology selection risks into Acemoglu.et al(2005)contract and technology selection equation.The results show that only when the stock of human capital is higher than a certain extent,the protection of intellectual property rights,the size of the market will affect the choice of technology.When the size of the market is small,strict intellectual property protection will reduce the level of technology selection;when the market size is large,the protection of intellectual property does not reach a certain level,strengthen intellectual property protection will reduce the level of technical selection,However,when the level of intellectual property protection exceeds a critical value,strengthening the level of protection of intellectual property will increase the level of technical choice.Based on this,This paper analyzes the economic implications of different technology choices by numerical simulation.Then,based on the theory of evolutionary economics,this paper considers the positive feedback effect of technology selection on market size,and analyzes the effect of IPR protection on the co-evolution of technology selection and market size.The results show that the difference of the initial intellectual property right protection leads to the difference of technology choice,which leads to the difference of economic growth,which leads to the difference of market size.This will affect the subsequent technological choice,which means that there is a cumulative cyclical effect in this process.As a result,small differences in initial intellectual property protection can also lead to vastly different technological choices.At the empirical level,we use the panel data of China between 2006 and 2013 to construct the technology selection index,and use panel regression and threshold regression to do the empirical test on the theoretical results.In the general OLS regression,when there is no cross-term between intellectual property protection and technology selection,there is no obvious relationship between IPR protection,market size and technology choice.However,when the cross-terms of IPR protection and market size are introduced,it is found that IPR protection,market size and cross-term impact on technology selection are significant.Then,the market size of average wage is taken as the threshold variable,and the effect of market size on the choice of technology is examined by the threshold regression method.The results show that when the market size is less than a certain critical value,the protection of intellectual property Technology selection and there is no significant role in the relationship.This paper argues that this phenomenon is due to the small size of the market,the human capital stock is also low.At this time the technology mainly comes from the outside enterprises to bring in technology changes or the introduction of patent expiration technology in developed countries,rather than take the initiative to absorb the outside world of advanced technology,therefore,intellectual property,market size and technology selection Have an impact.When the market size is larger than a certain critical value,the intellectual property rights and technology choice have a more significant negative relationship.This is because intellectual property protection affects the size of the market in which technology can be sold,and the size of the market directly determines the profitability of the technology,which ultimately affects the choice of technology.It is precisely because China is still in the stage of imitation of advanced technology in developed countries,so intellectual property protection has a negative impact on technology choices.In the empirical results,we can not find that the phenomenon of IPR increase the level of technology selection when the market size exceeds a certain threshold.This may mean that China has not yet reached the stage of improving the level of technology selection in IPR protection.In the aspect of policy suggestion,first of all,we analyze China's"market-for-technology" policy by expanding the theoretical model.As a result,the policy was only likely to succeed if the market size was small or the technology gap was large.Secondly,in terms of institutional arrangements,we believe that the intellectual property rights system should be designed according to market size,technological gap,human capital and so on.Finally,in terms of income distribution,we believe that the income should be allocated reasonably and the income gap should be reduced,This can also improve the level of technology selection.