Does Tariff Induce Intellectual Property Right Protection and Reduce Incidence of Piracy?

摘要

We consider a model with North exporting a copyrighted product to South where there is IPR violation, and South exports a basic good to North. We examine the impact of North's imposition of import tariff on South's monitoring of IPR violation and the incidence of piracy. If South values IPR compliance lowly, then tariff imposition do not alter the pre-tariff no monitoring equilibrium outcome but unambiguously raises the incidence of piracy. If IPR compliance is valued highly then tariff either switches the equilibrium outcome from not monitoring to monitoring or increases its rate. However, the incidence of piracy may increase.