Inventors and Pirates: Creative Activity and Intellectual Property Rights
This paper analyzes how both the value of ideas created as well as the security of intellectual property rights result from the choices of potentially creative people either to engage in creative activity or to be pirates, and from decisions of people who are engaged in creative activity to allocate time and effort to the guarding of ideas from pirating. An important result is that, although the existence of a small number of geniuses causes a larger fraction of potentially creative people to choose to be pirates and, consequently, makes intellectual property rights less secure, the existence of a small number of geniuses, holding fixed the average level of talent, can result in a larger value of ideas being created. The paper also recognizes the difference between the private value and the social value of the security of intellectual property rights.
|Date of creation:||Sep 2000|
|Date of revision:|
|Publication status:||published as Grossman, Herschel I. "Inventors And Pirates: Creative Activity And Intellectual Property Rights," European Journal of Political Economy, v21(2,Jun), 2005, 269-285.|
|Contact details of provider:|| Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.|
Web page: http://www.nber.org
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Herschel I. Grossman, 1998.
"Producers and Predators,"
98-6, Brown University, Department of Economics.
- Raghuram G. Rajan & Luigi Zingales, 2000.
"The Firm as a Dedicated Hierarchy: A Theory of the Origin and Growth of Firms,"
NBER Working Papers
7546, National Bureau of Economic Research, Inc.
- Raghuram G. Rajan & Luigi Zingales, 2001. "The Firm as a Dedicated Hierarchy: A Theory of the Origins and Growth of Firms," The Quarterly Journal of Economics, Oxford University Press, vol. 116(3), pages 805-851.
- Gould, David M. & Gruben, William C., 1996. "The role of intellectual property rights in economic growth," Journal of Development Economics, Elsevier, vol. 48(2), pages 323-350, March.
- Herschel I. Grossman & Minseong Kim, 2003.
"Educational Policy: Egalitarian or Elitist?,"
Economics and Politics,
Wiley Blackwell, vol. 15(3), pages 225-246, November.
- Sunil Kanwar & Robert E Evanson, 2004.
"Does Intellectual Property Protection Spur Technological Change?,"
Levine's Working Paper Archive
122247000000000455, David K. Levine.
- Sunil Kanwar & Robert Evenson, 2003. "Does intellectual property protection spur technological change?," Oxford Economic Papers, Oxford University Press, vol. 55(2), pages 235-264, April.
- Sunil Kanwar & Robert Evenson, 2001. "Does Intellectual Property Protection Spur Technological Change," Working Papers 831, Economic Growth Center, Yale University.
- Herschel I. Grossman & Minseong Kim, 1997.
"Predation, Efficiency, and Inequality,"
NBER Working Papers
6301, National Bureau of Economic Research, Inc.
- Herschel I. Grossman & Minseong Kim, 2002. "Predation, Efficiency, and Inequality," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 158(3), pages 393-, September.
- Cozzi, Guido, 2001. "Inventing or Spying? Implications for Growth," Journal of Economic Growth, Springer, vol. 6(1), pages 55-77, March.
- Anton, James J & Yao, Dennis A, 1994. "Expropriation and Inventions: Appropriable Rents in the Absence of Property Rights," American Economic Review, American Economic Association, vol. 84(1), pages 190-209, March.
- Hirshleifer, Jack, 1971. "The Private and Social Value of Information and the Reward to Inventive Activity," American Economic Review, American Economic Association, vol. 61(4), pages 561-74, September.
- Bruno Biais & Enrico Perotti, 2008.
"Entrepreneurs and new ideas,"
RAND Journal of Economics,
RAND Corporation, vol. 39(4), pages 1105-1125.
- B. Zorina Khan & Kenneth L. Sokoloff, 2001. "The Early Development of Intellectual Property Institutions in the United States," Journal of Economic Perspectives, American Economic Association, vol. 15(3), pages 233-246, Summer.
- de Meza, David & Gould, J R, 1992. "The Social Efficiency of Private Decisions to Enforce Property Rights," Journal of Political Economy, University of Chicago Press, vol. 100(3), pages 561-80, June.
- Usher, D, 1987. "Theft as a Paradigm for Departures from Efficiency," Oxford Economic Papers, Oxford University Press, vol. 39(2), pages 235-52, June.
- Walter G. Park & Juan Carlos Ginarte, 1997. "Intellectual Property Rights And Economic Growth," Contemporary Economic Policy, Western Economic Association International, vol. 15(3), pages 51-61, 07.
- Petra Moser, 2003.
"How Do Patent Laws Influence Innovation? Evidence from Nineteenth-Century World Fairs,"
NBER Working Papers
9909, National Bureau of Economic Research, Inc.
- Petra Moser, 2005. "How Do Patent Laws Influence Innovation? Evidence from Nineteenth-Century World's Fairs," American Economic Review, American Economic Association, vol. 95(4), pages 1214-1236, September.
- Richard C. Levin & Alvin K. Klevorick & Richard R. Nelson & Sidney G. Winter, 1987. "Appropriating the Returns from Industrial Research and Development," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 18(3), pages 783-832.
- Nancy T. Gallini, 2002. "The Economics of Patents: Lessons from Recent U.S. Patent Reform," Journal of Economic Perspectives, American Economic Association, vol. 16(2), pages 131-154, Spring.
When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:7898. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.