Recent international agreements such as the Convention on Biological Divers
ity and the Trade-Related Intellectual Property Rights have called for incr
eased mutual transfer of biodiversity and biotechnology between poor and ri
ch countries. These agreements also call for the protection of intellectual
property rights (IPR) on biotechnology transferors in the receiving countr
ies. This paper examines the biodiversity conservation implications of prov
iding physical access and IPR protection to foreign consumers of biodiversi
ty. An integrated model of optimal resource extinction and shared resource
harvesting game is presented. The model results show that, as foreign and i
ndigenous users compete for the same open-access resource, optimal extincti
on may occur as a noncooperative equilibrium under certain bioeconomic cond
itions. Extinction may be prevented by forging successful cooperation betwe
en consumers, initiating a joint harvesting process. Depending upon the mod
el parameters, even under cooperation, increased patent protection and phys
ical access either promotes the conservation of biodiversity or enhances it
s physical exploitation. Patent protection and resource access must, theref
ore, be developed carefully by biodiversity-rich countries to successfully
balance their domestic conservation and socioeconomic goals. (C) 1999 Elsev
ier Science B.V. All rights reserved.