Template-type: ReDIF-Paper 1.0
Author-Name: Antonelli Cristiano
Author-Email: cristiano.antonelli@unito.it
Author-Workplace-Name: University of Turin
Author-Workplace-Homepage: http://www.est.unito.it/
Title:Compulsory licensing: the foundations of an institutional innovation
Abstract:Compulsory licensing is an important institutional innovation that
improves the knowledge governance and can help fostering the pace of generation of
technological knowledge and the rate of introduction of technological innovations.
Recent advances in the economics of knowledge have confirmed the medieval
wisdom according to which to make knowledge it is necessary to stand on giants’
shoulders. The generation of new technological knowledge is possible only if the
stock of existing knowledge can be used as an input. All barriers and delays in the
access to existing knowledge risk to reducing the capability to generate new
technological knowledge. Intellectual property right regimes based upon exclusivity
may increase the incentives to generate new technological knowledge but reduce the
efficiency and the actual viability of the knowledge generation process. The costs of
the reduction in the access to existing knowledge are larger the larger the scope of
application of new technology. Compulsory licensing for technological knowledge
can increase the rate of generation of new technological knowledge. The paper
contributes the debate with a simple model that enables to identify the correct levels
of royalties for compulsory licensing in both product and knowledge markets.
Length: 23 pages
Creation-Date: 2012-02
File-URL: http://www.est.unito.it/do/home.pl/Download?doc=/allegati_wp/wp2012dip_l_b/7_wp_momigliano.pdf
File-Format: Application/PDF
Handle: RePEc:uto:labeco:201207