The protection of intellectual property involves a set of standards, regulations, procedures and institutions that govern the originality, transfer and rights of access and use of knowledge and intangible assets. Moreover, both firms and economic sectors have different propensities to patent. In several sectors, innovations originate from the acquisition of equipment or incremental improvements, while in other sectors the same activities are not susceptible to being patented. Thus, in order to understand the evolution of intellectual property rights in Brazil and their impact on technological development, this paper analyzes the effects of the Brazilian Intellectual Property Law, introduced in 1996, in Brazilian enterprises’ patenting activities. To do so, the author employs statistical modeling with data taken from the National Institute of Intellectual Property (available for the years 1991-2005).
The document is organized as follows. After the introduction, section two presents the main debates about intellectual property rights, whereas section three includes the evolution of international intellectual property agreements. The fourth section describes the Brazilian situation. Section five analyzes the statistics of patent filling in the country in order to evaluate the effects on firms. Section six deepens the analysis of the results while section seven concludes.
The author concludes that:
While there was an increase of patent fillings after the entry into force of the law, a causal relationship cannot be inferred. Other factors associated with innovation policies in the 2000s, or macroeconomic variables, might have spurred the evolution of patenting
Domestic companies are more likely to undertake such fillings, considering the statistical results for both medium-large and large firms
Tests suggest that domestic firms reacted more strongly to current legislation, with a greater propensity to patent filling than multinational companies, especially after the entry into force of the law