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Little Firms and Big Patents: The Incentives To Disclose Competencies
The paper offers a theoretical treatment of information disclosure through patenting. The author considers a signaling model in which two domestic firms disclose their competencies to a foreign firm and demonstrates that subsidizing the costs of patent applications has no impact on the outcome.
Link
http://econwpa.wustl.edu:80/eps/io/papers/0411/0411010.pdf