Keywords
innovation, patent activity, patent success ratio, successful patent applications, total patent applications
Start Date
1-7-2004 12:00 AM
Abstract
This paper introduces a simple new measure of innovation, the patent success ratio (PSR),namely the ratio of successful patent applications to total patent applications. It has been argued in theextensive literature on innovation and technology policy that patents can serve as an accurate proxy forinnovative activity. This paper suggests that PSR is a more accurate measure of how innovative activitychanges over time than are transformations of total patent applications and successful patent applicationsseparately. A sensitivity analysis is conducted to assess the usefulness of the new PSR measure ofinnovation using annual US data for the period 1915-2001.
A Simple New Measure of Innovation: The Patent Success Ratio
This paper introduces a simple new measure of innovation, the patent success ratio (PSR),namely the ratio of successful patent applications to total patent applications. It has been argued in theextensive literature on innovation and technology policy that patents can serve as an accurate proxy forinnovative activity. This paper suggests that PSR is a more accurate measure of how innovative activitychanges over time than are transformations of total patent applications and successful patent applicationsseparately. A sensitivity analysis is conducted to assess the usefulness of the new PSR measure ofinnovation using annual US data for the period 1915-2001.
