Journal of Corporate Finance Vol. 44 2017
Truncation bias corrections in patent data: Implications for recent research on innovation
Abstract
We review the effectiveness of various adjustment methods in correcting the truncation-bias in patents data and the implications for existing studies. The NBER patents-database was recently updated, extending the sample from 2006 to 2010. The updated sample is largely free of truncation-bias over the period covered by the NBER-2006 sample, allowing us to evaluate the bias-adjustment methods. We find that existing adjustments perform poorly towards the end of NBER-2006 sample. We re-examine multiple studies from the recent literature on innovation and show that findings based on the last few years of NBER-2006 data are not supported in the updated patents-database.
- DOI
- 10.1016/j.jcorpfin.2017.03.010
- Volume
- 44
- Pages
- 353-374
- Language
- en
- Sources
- bibtex:phds-export.bib openalex crossref