Fritz Machlup's An economic review of the patent system PDF

By Fritz Machlup

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For inventions resulting in relatively small economies the rate is 30 percent; for inventions yielding large economies the rate is lower and limited by an absolute ceiling. ” Whether these payments are called bonuses or royalties or profit-shares would not make any material difference. The fact, however, that the bonus system seems to be the “logical” form of award in a socialist economy, should not mislead us into assuming that proponents of such systems have necessarily been of socialistic persuasion.

Cap. 3) forbidding the granting by the Crown of exclusive rights to trade, with the exception of patent monopolies to the “first and true inventor” of a new manufacture. ” B. THE SPREAD OF THE PATENT SYSTEM (1624-1850) The Statute of Monopolies is the basis of the present British patent law, and became the model for the laws elsewhere. Some of the Colonies were the first to follow: Massachusetts, for example, in 1641. 10 The larger countries of Europe were much slower. An edict of King Louis XV of France, in 1762, did little more than prohibit permanent privileges and provide for inventors’ patents limited to 15 years.

For inventions resulting in relatively small economies the rate is 30 percent; for inventions yielding large economies the rate is lower and limited by an absolute ceiling. ” Whether these payments are called bonuses or royalties or profit-shares would not make any material difference. The fact, however, that the bonus system seems to be the “logical” form of award in a socialist economy, should not mislead us into assuming that proponents of such systems have necessarily been of socialistic persuasion.

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An economic review of the patent system by Fritz Machlup


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