Estimates of the Value of Patent Rights in China

Abstract

We estimate the value of Chinese invention and utility model patents that were applied for during two periods, 1987–1989 and 1986–1998. We find that patents applied for by foreign entities invariably have higher value than do those applied for by domestic entities, and the gap is significant. The total value of invention and utility model patents in the 1987 cohort together represent about 40 per cent of China’s 1987 governmental R&D budget.