A Patent Is A Form Of Intellectual Property Defined By

1799 WordsMay 10, 20178 Pages
A patent is a form of Intellectual Property defined by WIPO as “an exclusive right granted for an invention, which is a product or process that provides… a new way of doing something or offers a new technical solution to a problem” (WIPO,2017). In practice a patent is a document issued, upon application, by a government or regional office which describes an invention. Creating a legal situation in which the patented invention can only usually be exploited with the authorisation of the owner of the patent, and therefore the right granted is exclusionary. Thus enabling the patentee to prevent others from producing, using, selling or importing the invention without the patent owner’s permission. The purpose of a patent is to ultimately…show more content…
Historical Evidence The U.K experienced extreme growth during the Industrial Revolution which was facilitated by secure property rights (Bessen and Meurer,2008). Britain’s well defined fiscal system spurred the growth of markets through reduced transaction costs enabling more specialisation, economies of scale and greater returns to investment. All seen as vital prerequisites for fostering innovation and the subsequent economic growth of the Industrial Revolution. Patents were also amid Britain’s property rights at the time, having the first patent law in 1624, but many scholars doubted the value of patents even though many inventors obtained them for their inventions at the time. For example Mokyr claims Cartwright and Roberts, creators of an effective automatic spinning machine both owned patents for their invention but were unable to earn profits from them, even though their machines were widely appropriated by users, another example indicates that the cost of litigation nearly bankrupt the inventors of a paper – making machine (Mokyr,1999). Conversely James Watt who owned a patent on his enhanced steam engine design made a considerable return on the investment needed to commercialise the invention, but again this added little to economic growth as the steam engine was only in its infancy at the time (MacLeod,1998). Moreover Nuvolari emphasises the importance of ‘collective innovations’ in advancing the steam
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