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The Relationship Between Intellectual Property Law and Competition Law: An Economic Approach

  • Pierre Regibeau

    ()

  • Katharine Rockett

    ()

This paper presents an economic analysis of the relationship between Intellectual Property (IP) Law and Competition Law. Contrary to some of the recent debate, our analysis emphasises the separation of IP Law and Competition Law: IP law should concern itself with assigning and defending intellectual property rights, while Competition Law should concern itself with the use of those rights. This separation extends to the enforcement of the law as well, where we argue that once property rights have been assigned, no further distinction based on intellectual or non-intellectual property should be made. While the IP/Competition Law interface has some specificity due to the types of behaviours that tend to arise more frequently where IP is concerned, we argue for a set of principles for Competition Policy that include restraint, a commitment not to revisit ex post the rights granted by IP law, and a commitment to make large changes in property right regimes only when very large changes in ex post regulation occur.

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File URL: http://www.essex.ac.uk/economics/discussion-papers/papers-text/dp581.pdf
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Paper provided by University of Essex, Department of Economics in its series Economics Discussion Papers with number 581.

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Date of creation: 18 Jun 2004
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Handle: RePEc:esx:essedp:581
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  1. Novos, Ian E & Waldman, Michael, 1984. "The Effects of Increased Copyright Protection: An Analytic Approach," Journal of Political Economy, University of Chicago Press, vol. 92(2), pages 236-46, April.
  2. Shapiro, Carl, 2001. "Antitrust Limits to Patent Settlements," Competition Policy Center, Working Paper Series qt87s5j911, Competition Policy Center, Institute for Business and Economic Research, UC Berkeley.
  3. Mukesh Eswaran & Nancy Gallini, 1996. "Patent Policy and the Direction of Technological Change," RAND Journal of Economics, The RAND Corporation, vol. 27(4), pages 722-746, Winter.
  4. Nancy T. Gallini, 1992. "Patent Policy and Costly Imitation," RAND Journal of Economics, The RAND Corporation, vol. 23(1), pages 52-63, Spring.
  5. Bakos, Yannis & Brynjolfsson, Erik & Lichtman, Douglas, 1999. "Shared Information Goods," Journal of Law and Economics, University of Chicago Press, vol. 42(1), pages 117-55, April.
  6. De Alessi, Louis & Staaf, Robert J, 1994. "What Does Reputation Really Assure? The Relationship of Trademarks to Expectations and Legal Remedies," Economic Inquiry, Western Economic Association International, vol. 32(3), pages 477-85, July.
  7. Tandon, Pankaj, 1982. "Optimal Patents with Compulsory Licensing," Journal of Political Economy, University of Chicago Press, vol. 90(3), pages 470-86, June.
  8. Carmen Matutes & Pierre Regibeau & Katharine Rockett, 1996. "Optimal Patent Design and the Diffusion of Innovations," RAND Journal of Economics, The RAND Corporation, vol. 27(1), pages 60-83, Spring.
  9. Kremer, Michael R., 1998. "Patent Buyouts: A Mechanism for Encouraging Innovation," Scholarly Articles 3693705, Harvard University Department of Economics.
  10. Mukesh Eswaran, 1994. "Cross-Licensing of Competing Patents as a Facilitating Device," Canadian Journal of Economics, Canadian Economics Association, vol. 27(3), pages 689-708, August.
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