While empirical evidence shows considerable innovative activities by the Southern firms, these activities have been ignored in determining the relationship between Southern patent regime and foreign direct investment (FDI) by the Northern firms. We show that whether a stronger Southern patent...

The theoretical prediction of Head and Ries (‘Heterogeneity and the FDI versus export decision of Japanese manufacturers', 2003, Journal of the Japanese and International Economies, 17: 448-67) is that if the foreign plant is not used to serve the home market, the exporters can be more...

In a supplementary note to Ghosh and Morita ("Social desirability of free entry: a bilateral oligopoly analysis," 2007, IJIO), an example has been used to show that the condition for insufficient entry holds under the right-to-manage model of a vertically related industry. Using a linear demand...

Recovering revenue loss due to the reduction in import tariffs is a major concern of many developing economies. In an economy with free entry, which affects the product market competition, we show that, even if there is no other tax reform such as a profit tax reform, the market mechanism itself...

We show that, in the case of a vertical technology transfer, if there is imperfect knowledge spillover under a weak patent protection, the strong patent protection in the developing country increases the profit of the developed-country firm if there is a uniform tax rate in the developing...