Albert Guangzhou Hu

• PhD
• Professor at China Europe International Business School

We propose localization push, as an alternative to tacit knowledge, to explain the localization of knowledge diffusion. Sponsors of scientific research enact policies and create institutions for locally-produced knowledge spillovers. We hypothesize that localization necessitated by tacit knowledge renders the local diffusion of such knowledge more...

We investigate the role of public funding in the rapid ascent of Chinese science by examining the impact of a major upgrade of a funding program of the National Natural Science Foundation of China in 2011. Using research grant level data and a difference-in-differences estimator, we found that the more generous funding resulted in higher research o...

Cambridge Core - International Trade Law - Framing Intellectual Property Law in the 21st Century - edited by Rochelle Cooper Dreyfuss

We examine whether receiving a government R&D grant stimulates or crowds out a firm's own R&D spending in Chinese manufacturing industries. Using a database that spans the population of large and medium size privately owned Chinese manufacturing firms for the period from 2007 to 2011, a matching estimator and a matching and difference in‐difference...

In the following chapter Hu, Zhang and Zhao examine the relationship of patents to technology innovation. The development of patents is conventionally regarded widely as a significant part of the innovation process in many modes of innovation. Patents are often used as an indicator of technology innovation, and China’s patenting surge raises the qu...

China overtook the U.S. in 2011 to become the country filing the largest number of patent applications. Has China's patenting ascendancy been propelled by Chinese firms? increasing technological sophistication or their much greater propensity to seek patents? Using a unique and never before used data set, where the State Intellectual Property Offic...

The Growth of Chinese Electronics Firms: Globalization and Organizations. KOICHIRO KIMURA. Basingstoke, UK: Palgrave Macmillan, 2014. xvii + 174 pp. £65.00. ISBN 978-1-137-39140-7 - Volume 223 - Albert G. Hu

East Asia has been one of the most dynamic regions of economic growth and development. The past two decades have seen tremendous economic and technological catching up in the region. Using South Korea as a case to illustrate the process of technology catching up, we find that the process of graduating from imitation to innovation is a nonlinear one...

This paper examines the impact of tariff reduction following China's World Trade Organization (WTO) entry on the productivity of Chinese manufacturing firms using a firm-level panel database that comprises all of China's manufacturing firms with an annual turnover above 5 million yuan and that spans the period of 2000–2006. An instrumental variable...

Albert G. Hu of National University of Singapore reviews, “Private Rights and Public Problems: The Global Economics of Intellectual Property in the 21st Century” by Keith E. Maskus. The Econlit abstract of this book begins: “Presents an economic perspective on intellectual property rights and their relationship to global issues. Discusses the big s...

The objective of patent rights is to foster innovation and economic growth. However, to date, there is little robust evidence that patents achieve this objective. Here, we study the impact of changes in effective patent rights within panels of up to 54 manufacturing industries in up to 72 countries between 1981—2000. Stronger patent rights were ass...

The objective of patent rights is to foster innovation and economic growth. However, to date, there is little robust evidence that patents “work” as intended. Here, we study the impact of changes in effective patent rights within panels of up to 54 manufacturing industries in up to 72 countries between 1981-2000. We find that more patent-intensive...

Foreign applications for Chinese patents have been growing by over 30% a year. This paper explores two hypotheses in explaining the foreign patenting surge in China: market covering and competitive threat. With foreign companies more deeply engaged with the Chinese economy, returns from protecting their intellectual property in China have increased...

Over the past 20 years, patenting in China has grown at a rapid rate, having notably surged since 1999. And yet China’s recent patent explosion has taken place in an institutional environment that is not known for the rule of law and rigorous protection of intellectual property rights. Such institutional deficiencies might have made it futile for i...

China's patent surge, documented in this paper, is seemingly paradoxical given the country's weak record of protecting intellectual property rights. Using a firm-level data set that spans the population of China's large and medium-size industrial enterprises, this paper explores the factors that account for China's rising patent activity. While the...

Summary This paper investigates the extent to which East Asia has become a source of international knowledge diffusion and whether such diffusion is localized to the region. Using citations made by US Patent and Trademark Office (USPTO) granted patents to other USPTO patents as an indicator of knowledge flow, I investigate the patterns of knowledge...

The objective of patent rights is to foster innovation and economic growth. However, to date, there is little robust evidence that patents "work". Here, we applied a difference-in-differences strategy to study the impact of changes in patent rights within panels of up to 54 manufacturing industries in up to 72 countries between 1981-2000. We found...

The objective of patent rights is to foster innovation and economic growth. However, to date, there has been no systematic evidence that patents “work”. Here, we study the impact of changes in patent rights within cross-sections of up to 54 manufacturing industries in over 72 countries between 1981-2000. We found that, indeed, stronger patent right...

What determines the decision of an inventor to seek patent protection in a foreign jurisdiction, particularly one where intellectual property rights protection is weak? This paper focuses on competition as a determinant of the patenting decision in the context of the recent foreign patenting surge in China. Using a database that comprises of all pa...

East Asia is emerging as a hub of technological innovation. This paper investigates the extent to which East Asia has become a source of international knowledge diffusion and whether such di®usion is localized to the region. Using citations made by U.S. Patent and Trademark O±ce (USPTO) granted patents to other USPTO patents as an indicator of know...

Economists agree that the long-term growth of living standards depends on the capacity of an economy to sustain technological progress, whether by adopting technologies from abroad, through its own technological innovations, or, most likely, through a combination of adoption and innovation. The purpose of this chapter is to describe and analyze Chi...

The generation, diffusion, absorption, and application of new technology, knowledge, or ideas are crucial drivers of development. The authors examine the exceptionally fast growth in domestic innovation efforts in Korea, Taiwan (China), Singapore, and China, drawing on information about R&D as well as patent and patent citations data. They also use...

China's technology parks have been growing rapidly in the decade that followed their establishment. I examine whether this is merely in response to the policy incentives or there have been external economies from the concentration of high-technology firms in the technology parks as policy makers had hoped. Using data on China's 53 national technolo...

China’s economic transformation is proceeding at different rates across different regions and sectors, and China’s most advanced regional sector, coastal industry, still lags well behind the world’s technology frontier. This paper explores the implications of these internal and international productivity disparities for China’s ability to sustain r...

In bridging the technology gap with the OECD nations, developing economies have access to three avenues of technological advance: domestic R&D, technology transfer, and foreign direct investment. This paper examines the contributions of each of these avenues, as well as their interactions, to productivity within Chinese industry. Based on a large d...

This paper estimates returns to research and development (R&D) in Chinese industry. Using a firm-level data set on innovation activity in large- and medium-size industrial enterprises during 1991–1997 in the Beijing area, we estimate three equations—an R&D expenditure equation, a production function, and a profit function. Panel data estimation met...

There has been an increase in the incidence of multinational corporations (MNCs) conducting research and development (R&D) in their overseas subsidiaries.1 In deciding where to locate R&D activity, MNCs factor into consideration different forces that influence the costs and benefits of R&D. Using patent citations data and corporate information coll...

The capacity of developing economies to narrow the gap in living standards with the OECD nations depends critically on their ability to imitate and innovate new technologies. Toward this end, developing economies have access to three avenues of technological advance: technology transfer, domestic R&D, and foreign direct investment. This paper exami...

This paper examines patterns of knowledge diffusion from the U.S. and Japan to Korea and Taiwan using patent citations as an indicator of knowledge flow. We estimate a knowledge diffusion model using a data set of all patents granted in the U.S. to inventors residing in these four countries. Explicitly modeling the roles of technology proximity and...

This paper examines the relationship between organizational design and technological innovation in Chinese industry. In a principal-agent model, monitoring intensity is an endogenously determined input to innovation production. A recursive system of an innovation production function and a monitoring intensity equation, where the latent monitoring i...

The capacity of developing economies to narrow the gap in living standards with the OECD nations depends critically on their ability to imitate and innovate new technologies. Toward this end, developing economies have access to three avenues of technological advance: technology transfer, domestic R&D, and foreign direct investment. This paper exami...

China's 22,000 large and medium-size enterprises stand at the pinnacle of Chinese industry. While they account for less than a fraction of a percent of China's nearly 8 million industrial enterprises, they collectively account for one-third of the nation's total industrial output. Using a panel of these enterprise data for 1994-1999, we find a rapi...

Using a large sample of large and medium size enterprises in China's electronic and textile industries, we investigate the impact of FDI on the productivity and sales of domestic firms. The rest of the paper is organised into four further sections. Section 2 describes the data used in this paper and provides a preliminary comparison between domesti...

This paper examines the relationship between research and development (R&D) expenditure and productivity in China's enterprises. An empirical model that contains a system of three equations, i.e., the production function, a private R&D equation, and a government R&D equation, is estimated using a cross-sectional data set for Chinese enterprises of...

China is the world's second largest host for foreign direct investment, outside the US. This book offers insights into the impact of foreign direct investment on China's growth and regional development.

Economic reform and liberalization in China have affected many institutional ob-stacles constraining the development and growth of Chinese small and medium size enterprises (SMEs). Using a firm-level data set that comprises all "above-scale" Chinese industrial enterprises for the period of 1995 to 2003, I investigate the pat-terns of entry and exit...

Foreign direct investment has been diffusing across Chinese regions, but the coast-interior gap in attracting FDI has been widening. We examine the empirical rel-evance of three alternative theories in explaining FDI location in China: agglom-eration economies, comparative advantage, and FDI location tournament among Chinese regions. Using provinci...

Thesis (Ph. D.)--Brandeis University, 1999. Includes bibliographical references. UMI Number: 9930056.