The effects of intellectual property rights on economic growth: An empirical analysis on G8 countries

At the last quarter of 20th century, `globalization process? due to rapid development in the communication and transportation network gave rise an international character to capital, goods and services. At the same time, communication and information technologies have also developed. This rapid development form a concept called `knowledge economy?. In the base of knowledge economy, there are technology intense products and R&D investments resulting in creative ideas. Nowadays, countries give importance to technological innovations and R&D activities for economic growth. Therefore, the importance of the intellectual property rights is the base of providing technological development by maintaining creative ideas in the knowlege economy. Through the globalization process, importance for maintaining the IPR has been increased. This is because intellectual property defining as all sorts of intangible property due to the product of creative effort, is the factor that affects the countries technological development and international trade relations. In this thesis, first of all IPR?s historical development, definition, connection with economic growth and importance of maintaining this rights are given. Next, eceonometric analysis is done for implying this rights on G8 countries economic growth. As a result of eceonometric analysis, it is found that there is a positive relationship between IPR protection, economic growth and R&D investments for G8 countries.