Wednesday, October 30, 2019 | 2:00pm-3:30pm | Room 335, HSBC Business School Building

Abstract

Is there knowledge adoption of innovations from emerging economies? We theorize that to help overcome information asymmetry across countries, the granting of patent to technology in the emerging economy of China can serve as a signal of technology potential and market opportunity to enhance technological knowledge adoption in the developed economy of U.S. The effect may be greater in complex technology sector with higher information asymmetry than discrete technology sector; and in regions with less developed market intermediaries where information asymmetry is higher. Our difference-in-differences estimates using 4,226 China-U.S. patent dyads and comparable U.S. patents provide support for our hypotheses.