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Non-Obviousness and Complementary Innovations

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  • Yann Ménière

    (CERNA i3 - Centre d'économie industrielle i3 - Mines Paris - PSL (École nationale supérieure des mines de Paris) - PSL - Université Paris sciences et lettres - I3 - Institut interdisciplinaire de l’innovation - CNRS - Centre National de la Recherche Scientifique, CORE - Center of Operation Research and Econometrics [Louvain] - UCL - Université Catholique de Louvain = Catholic University of Louvain)

Abstract

This paper explores which patent policy should be applied to complementary innovations that are aggregated into broader technologies. I compare a setting in which complementary innovations must be bundled prior to patenting, with a second setting in which they can be patented separately. The first setting can improve static efficiency by avoiding the costs resulting from the scattering of complementary patents. But it also limits the disclosure of small innovations, which may lead to inefficient R&D cost duplications. A model capturing these effects shows that patenting complementary innovations separately is not efficient when innovations can be developed rapidly. This result justifies the enforcement of a severe "inventive step" or "non-obviousness" requirement in sectors where complementary innovations are frequent.

Suggested Citation

  • Yann Ménière, 2008. "Non-Obviousness and Complementary Innovations," Post-Print hal-00397192, HAL.
    • Handle: RePEc:hal:journl:hal-00397192
    DOI: 10.1016/j.euroecorev.2007.11.002
    Note: View the original document on HAL open archive server: https://minesparis-psl.hal.science/hal-00397192
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    References listed on IDEAS

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