By Adam B. Jaffe, Josh Lerner, Scott Stern
ISBN-10: 0262101009
ISBN-13: 9780262101004
ISBN-10: 0585459592
ISBN-13: 9780585459592
This annual sequence, subsidized through the nationwide Bureau of monetary examine, offers a discussion board for learn at the interactions between public coverage, the innovation approach, and the economic climate. Discussions conceal all kinds of coverage that impact the facility of an economic climate to accomplish medical and technological growth or that have an effect on the influence of technological know-how and expertise on monetary progress. The books are designed to be of curiosity to normal readers drawn to public coverage in addition to to economists.
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Extra resources for Innovation Policy and the Economy, Volume 3 (NBER Innovation Policy and the Economy)
Sample text
Unlike output restrictions, which cause unambiguous consumer harm, a reduction in the rate at which new products emerge Intellectual Property, Antitrust, and Strategic Behavior 39 may or may not be desirable. This is recognized in limited patent length and other aspects of IP policy. The antitrust treatment of R&D should be viewed in the context of all aspects of IP policy. Maybe one could have the same amount of innovation with shorter or narrower patents and weaker antitrust enforcement or vice versa.
A dramatic fall in venture capital financing, it is natural to conclude, would lead to a sharp decline in innovation. But this reasoning, while initially plausible, is somewhat misleading. For the effect of venture capital on innovation does not appear to be uniform. Rather, during periods when the intensity of investment is greatest, the effect appears to decline. Thus unevenness can be illustrated with both case-study and empirical evidence. Field-Based Evidence We have already discussed how in many instances the levels of funding during peak periods appear to overshoot the desired levels.
Because of the prevalence of market power in high-tech industries, it is important to understand the fit between existing policy and the features of these industries. The proper application of antitrust doctrines such as predation, tying, and exclusive contracts to high-tech industries is an issue of significant importance. These issues have received a fair amount of theoretical attention, so we touch on them briefly and only make some general observations. We argue that many of the theories that justify these antitrust doctrines also apply in high-technology companies, but several additional caveats may apply.