Investigating the Knowledge Spillover and Externality of Technology Standards Based on Patent Data

Abstract

Knowledge accumulation is considered a crucial factor for generating sustained economic growth. Therefore, both knowledge spillovers and externalities are considered drivers of economic development. Standardization is a vital feature of technological progress. It involves triggering adoptions of innovation by reducing market uncertainty between consumers and producers. Standards cannot be implemented without using technology covered by the claims of patents. This paper investigates knowledge spillover through the inward and outward knowledge flow from technology standards. Studies have investigated the quantitative and qualitative effects of technological standards. However, there still exists a lack of understanding regarding the knowledge spillover and externality that results from technological standardization. The aim of this paper is to fill this gap in the literature by elucidating the codified knowledge spillover that underlies patented technologies at the technical, organizational, and industrial standard levels. This paper explores the characteristic patterns of knowledge spillover associated with technology standards.

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