Intellectual property, tariffs, and international trade dynamics

Arbeitspapier

The emergence of global value chains not only leads to a magnification of trade in intermediate inputs but also to an extensive technology diffusion among the different production units involved in arms-length relationships. In this context, the lack of enforcement of intellectual property rights has recently become a highly controversial subject of debate in the context of the China-U.S. trade negotiations. This paper analyzes the strategic interaction of tariff policies and the enforcement of intellectual property rights within a quantitative general equilibrium framework. Results indicate that, in principle, tariffs could be an effective deterrent for weak protections for intellectual property. Moreover, weakening enforcement may be a strong deterrent for raising tariffs. These results combined indicate that there is scope for international cooperation on these fronts.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Working Paper ; No. 2019-10

Classification and Topics

• Classification: Wirtschaft ; Open Economy Macroeconomics ; International Policy Coordination and Transmission ; International Conflicts; Negotiations; Sanctions ; International Investment; Long-term Capital Movements ; Trade Policy; International Trade Organizations
• Subject: tariffs ; intellectual property rights ; technology capital transfers ; international trade

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Mandelman, Federico S. ; Waddle, Andrea
• Event: Veröffentlichung
• (who): Federal Reserve Bank of Atlanta
• (where): Atlanta, GA
• (when): 2019

Further information

• DOI: doi:10.29338/wp2019-10
• Handle: http://hdl.handle.net/10419/200548
• Last update: 10.03.2025, 11:43 AM CET