Sequential innovation, patents, and imitation
AbstractWe argue that when innovation is sequential (so that each successive invention builds in an essential way on its predecessors) and complementary (so that each potential innovator takes a different research line), patent protection is not as useful for encouraging innovation as in a static setting. Indeed, society and even inventors themselves may be better off without such protection. Furthermore, an inventor's prospective profit may actually be enhanced by competition and imitation. Our sequential model of innovation appears to explain evidence from a natural experiment in the software industry. Copyright (c) 2009, RAND.
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Bibliographic InfoArticle provided by RAND Corporation in its journal The RAND Journal of Economics.
Volume (Year): 40 (2009)
Issue (Month): 4 ()
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Blog mentionsAs found by EconAcademics.org, the blog aggregator for Economics research:
- âTechnology and Learning by Factory Workers: The Stretch-Out at Lowell, 1842,â J. Bessen (2003)
by afinetheorem in A Fine Theorem on 2013-08-20 08:49:04
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