Working Paper: NBER ID: w23808
Authors: Lee Branstetter; Neil Gandal; Nadav Kuniesky
Abstract: A large and growing literature has used patent and patent citation data to measure knowledge spillovers across inventions and organizations, but relatively few papers in this literature have explicitly considered the collaboration networks formed by inventors as a mechanism for shaping and transmitting these knowledge flows. This paper utilizes an approach developed by Fershtman and Gandal (2011) to examine the incidence and nature of knowledge flows mediated by the collaboration networks of inventors active in the information security industry. This is an industry in which a number of nations outside the United States, including Israel, have emerged as important centers of innovation. Using data from U.S. PTO patent grants in information security, we find that the quality of Israeli information security inventions is systematically linked to the structure of the collaborative network generated by Israeli inventors in this sector. Using the Fershtman and Gandal (2011) model, this suggests that there are knowledge spillovers from the network. In some other nations, invention quality is less closely linked to the collaboration networks of inventors. This research highlights the importance of direct interaction among inventors as a conduit for flows of frontier scientific knowledge.
Keywords: knowledge spillovers; collaboration networks; information security; patent quality
JEL Codes: O31; O33; O57
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| distance in the network (D85) | decay of spillovers (F12) |
| network structure (measured by centrality) (D85) | quality of Israeli information security inventions (O36) |
| network structure (measured by centrality) (D85) | forward citations (Y50) |
| forward citations (Y50) | quality of inventions (O31) |
| direct spillovers (when two patents share a common inventor) (O36) | quality of inventions (O31) |
| indirect spillovers (through a chain of collaborations among inventors) (O36) | quality of inventions (O31) |
| collaboration networks (D85) | knowledge spillovers (O36) |