The impact of patent protection and innovation on exports in North and South countries

The main objective of this study is to investigate the relationship between patent protection, innovation and export performance. In this regard, two samples (North and South countries) identified and study model estimated using two-stage GMM estimator during 1986 to 2015. The results show that the patent protection was positive effect on exports in both groups of countries so as the elasticity of exports to patent protection in North and South countries was more than 0.15. The results also showed that the elasticity of exports to innovation was positive in both groups of countries, with the difference that the export elasticity in the North countries was larger than in the South. Also, GDP per capita, human capital, foreign direct investment and trade openness had a positive effect on the exports of both groups, although the impact of these variables was greater in the South countries.