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February 04, 2009

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Ideas have to be differentiated well-enough to be distinct contributions before they can then be integrated back into a whole and wholly different work of art. It's a balancing act, but once the transactions costs are low relative to the gains from trade, delimiting property rights (even in intangibles) is still the best institutional mechanism we know for promoting growth, and probably for the same reason.

Recently, I came to a different perspective on copyright. The development of recording and reproduction technology is important on the human level not only because it makes getting the best performances cheaper, but because making the best performances cheaper means the demand for the second best performances dropped off like a cliff. Any enjoyment of music used to demand in-person performance, and the experience of performing and watching a live performance are quite different from the experience of listening to (even a worldclass) recording on an ipod.

Will the technology get good enough so that we can connect the same way electronically? I doubt it. I see a rebirth of a culture of live performance in the works as people begin to realize better and better what has been lost.

Among other things, I would just point out that modern copyright law would likely not prohibit the copying of "plots and characters." Patent and copyright are very different, and patent (of course) protects ideas; copyright only specific expressions of ideas. This permits an enormous amount of copying of the sort you seem to prefer, but less of the "mashups" that Lessig seems to want--although for the life of me I cannot figure out how the fate of the world hangs on a kid in Kansas being able to "mash" an Obama speech with a Jay-Z song.

The fate of the world may not hang on to a kid being able to "mash" an Obama speech with a Jay-Z song. (Good taste would seem to prevent it, though I'm sure you can find it online.)

The question of intellectual monopoly (i.e. patents) gets to the heart of how much growth can we have in an information, knowledge based economy. The optimists, of which I am one, see nothing but possibility and a continuum of property rights based upon paying fees to the government. The pessimists see reducing the standards of patents as akin to the Wild West. Don't know yet which one will win out, but I suspect it will be a bit of both. Interesting post, Dane. I would recommend Against Intellectual Monopoly as a good place to start for people. http://www.dklevine.com/general/intellectual/against.htm

(True to form, it is free online!)

I think that here one of the question is - what are potential ways to improve the situation with inventions etc?

Some of them have no connection to patents.
For example - Kindle ( and future derivatives , maybe open (paid ) access to all scanned google books ) will enable people to combine quite a bit of ideas ( otherwise which would not be combined ).

another way is better communications in scientific community. Maybe near future 'telepresence' ) will make some significant differences in how scientific ideas are discussed and evolved.

and maybe important step should be some measurements how older expired patents, which are easily accessed, generate new approaches. Seems if all old international patents are well structured and discussions are organized then the effect might be seen.

Then if payoff to society proves to be significant - then talks on patent will have quite different tone.

so I see an evolutionary approach.
at least no one will loose in such way.

Tim: As I wrote on my blog, Truth on the Market, I think Tyler is pretty far off base with this one. See http://www.truthonthemarket.com/2009/04/28/what-does-tyler-know-about-law-and-economics-anyway/

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Reformulate the usual consensus thus:

"a vice presidential choice has little effect on election outcome *unless* it casts serious doubt on the judgment of the presidential candidate"

and you will find it is consistent with 2008 as well as past experience.

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  • entrepreneur

Authors

  • Tim Kane
    Senior scholar at the Kauffman Foundation, former entrepreneur, and veteran Air Force officer.
  • Dane Stangler
    Research manager in the Office of the President at the Kauffman Foundation.
  • Robert Litan
    VP of Research and Policy at the Kauffman Foundation, and former White House official.
  • Brink Lindsey
    Senior scholar in Research and Policy at the Kauffman Foundation.