This paper examines the effect of foreign direct investment (FDI) on domestic innovation based on a data set covering … show that there is a negative horizontal spillover effect of FDI on domestic innovation when the intellectual property … on why developing countries should encourage FDI and strengthen the IPR regime together to enhance domestic innovation …

observe export and patenting activities worldwide and at the product level. We exploit how heterogeneity of patent … coverageacross (and within) product-country relates to exports. We find a patent premium of at least 10 percent, which is mainly …