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Introduction Chaptar NOTES Introduction 1. David T. Bazelon, The Paper Economy (NY: Random House, 1963), p. 64. 2. Peter Newcomb, "The Richest People in America," Forbes (October 11, 1999): 169. 3. Michael J. Mandel, "How the Super-Rich Lucked Out Twice: New Data Show the Top Earners Are Already Enjoying Lower Rates," Business week (May 14, 2001): 52. 4. Erika Btown, Doug Donovan, Joanne Gordon, and Peter Newcomb, "Global Billionaires," ForbesOuly5,1999). 5. Bittlingmayer and Hazlett 2000 coined the expression DOS Capital. See George Bittlingmayer and Thomas W. Hazlett, "DOS Kapital: Has Antitrust Action Against Microsoft Created Value in the Computer Industry?," Journal ofFinancial Economics, Vol. 55, No.3 (March 2000): 329-59. 6. Newcomb, "The Richest People in America," p. 169. 7. United Nations Development Programme, Globalization with a Human Face: United Nations Human Development Report (NY: Oxford University Press, 1999), p. 68. 8. Karl Marx, Capital, Vol. 1 (NY: Vintage, 1977), p. 496. 9. Michael A. Perelman, Class Warfare in the Information Age (NY: St. Martin's Press, 1998). 10. Davoll v. Brown, 7 F. Case. 197 (Circuit Court, D. Massachusetts 1845). 11. Mitchell v. Tilghman, 86 U.S. 287. 12. Supreme Court decision 1949: CIR. v. Wodehouse, 337 U.S. 369. Chaptar Dna 1. Robert P. Merges, "The Economic Impact ofIntellectual Property Rights: An Overview and Guide," Journal ofCultural Economics, Vol. 19, No.2 (1995): 106. 2. Edith T. Pentose, The Economics of the International Patent System (Baltimore: Johns Hopkins University Press, 1951), p. 2. 3. Daniel Defoe, A Plan of English Commerce (London: C. Rivington; Kress Goldsmith Collection, Reel 407, No. 6594, 1728), pp. 298-300. 4. Merges, "The Economic Impact ofIntellectuai Property Rights," p. 106. 5. Fritz Machlup and Edith Penrose, "The Patent Controversy in the Nineteenth Century," Journal ofEconomic History, Vol. 10, No.1 (May 1950): 1. 6. Ibid., p. 5. 7. Ibid. 8. Charles Dickens, "Letter to John Forster (February 24, 1841 )," Dickens on America and the Americans, ed. Michael Slater (Austin: University of Texas Press, 1978); also at <http:// www.lang.nagoya-u.ac.jp/~ matsuoka/CD-Forster-3.html#VlII>. 9. Charles Dickens, The Life and Times ofNicholas Nickleby (NY: Dodd, Mead, [183911944), p.542. 10. Michael P. Ryan, Knowledge Diplomacy: Global Competition and the Politics ofIntellectual Property (Washington, D.C.: Brookings Institution Press, 1998), p. 80. 11. William W. Fisher III, "The Growth ofIntellectual Property: A History of the Ownership ofIdeas in the United States," German Version Published in Hannes Siegrist und David Sugarman, eds. Eigentum im Internationalen Vergleich (Gottigen: Vandenhoeck & Rupre­ cht, 1999), pp. 265-91. 2 1 4 I IlEAL THIS IDEA 12. David G. Post [Temple University Law School/Cyberspace Law Institute]' Some Thoughts On The Political Economy Of Intellectual Property: A Brief Look at the International Copyright Relations ofthe United States (1998), <http://www.nbr.orglregional_studies/ipr/ chongqing98/poscessay.htmb. 13. Herbert v. Shanley Co., Nos. 427,433, Supreme Court Of The United States, 242 U.S. 591; 37 S. Ct. 232; 61 L. Ed. 511; 1917 U.S. Lexis 2158, argued January 10, 1917, Januaty 22, 1917. 14. Peter Orlik, "American Society of Composers, Aurhors and Publishers (ASCAP)," Encyclopedia ofRadio (Chicago and London: Fitzroy Dearborn Publishers, forthcoming in 2001). <http://www.fitzroydearborn.com/chicago/radioascap.htm>. 15. Robert Allen, "Collective Invention," Journal ofEconomic Behavior and Organization, Vol. 4, No.1 (March 1983): 2. 16. Steven W. Usselman, "Patents, Engineering Professionals, and the Pipelines ofInnovation: The Internalization of Technical Discovery by Nineteenth Centuty American Railroads," in Learning by Doing in Markets, Firms, and Countries, ed. Naomi R. Lamoreaux, Daniel M. G. Raff, and Peter Temin, (Chicago: University of Chicago Press 1999), pp. 68, 70. 17. Ibid., p. 71. 18. Ibid., pp. 73-74. Tanner (Railway Co.) vs. Sayles, Supreme Court 97. S. 554 Bradley. 19. David C. Mowety and Nathan Rosenberg, Paths of Innovation: Technological Change in 20th Century America (Cambridge: Cambridge University Press, 1998), p. 14. 20. Ibid., pp. 18-19. 21. Charles Beard and Mary Beard, The Rise ofAmerican Civilization, 2 vols. in one (New York: Macmillan, 1933), pp. 112-13; and Louis M. Hacker, The Triumph ofAmerican Capitalism: The Development of Forces in American History to the End of the Nineteenth Century (New York: Simon and Schuster, 1940), p. 387. 22. James Boyle, Shamans, Software, and Spleens: Law and the Construction ofthe Information Society (Cambridge: Harvard University Press, 1996). 23. David C. Mowety, "The Development of Industrial Research in U.S. Manufacturing," American Economic Review, Vol. 80, No.2 (May 1990): 344-9. 24. Ibid. 25. David Noble, America By Design (Oxford University Press, 1979); Noobar R. Danielian, AT&T: The Story ofIndustrial Conquest (New York: Vanguard Press, 1939). 26. Cited in Danielian, AT&T, pp. 99-100. 27. Noble, America By Design, p. 87; internally citing Frederick Fish, who had been both general counsel to General Electric and president of AT&T. 28. Ibid., p. 85; citingBernardJ. Stern, "The Corporations as Beneficiaries," American Scholar, Vol. 28 (1949): 113. 29. Noble, America By Design, p. 89. 30. Cited in Michael Polanvyi, "Patent Reform," Review ofEconomic Studies, Vol. 11, No.2 (Summer 1944): 63. 31. Standard Oil Co. (Ind.) v. United States, 283 U.S. 163, 167-68 (1931). 32. Cited in Floyd Lamar Vaughan, The United States Patent System: Legal and Economic Conflicts in American Patent History (Westport, CT: Greenwood Press, 1972), p. 48. 33. Cited in May Wong, "High-Stakes Battle Waged Over Patents for Internet Techniques, Business Methods Law: Companies Hope for Lucrative Payoff by Laying Legal Claim to Such Commonplace Features as Clicking to Jump from One Web Site to Another," Sacramento Bee Ouly 19, 2000): C 1. 34. Fisher, "The Growth of Intellectual Property: A History of the Ownership of Ideas in the United States." 35. Jan de V. Graaf, Theoretical Welfare Economics (Cambridge: Cambridge University Press, 1957), p. 16. 36. Sidney G. Winter, "An Essay on the Theory of Production." in S. H. Hymans, ed., Economics and the WOrld Around It (Ann Arbor: University of Michigan Press, 1982), p. 7 6. 37. Ibid., p. 78. NOTES I 215 38. Sidney G. Winter, "On Coase, Competence, and the Corporation," The Nature ofthe Firm in Oliver E. Williamson and Sidney G. Winter, eds. (Oxford: Oxford Universiry Press, 1991), p. 185. 39. Kenneth J. Arrow, "The Economics of Information: An Exposition," Empirica, Vol. 23, No.2 (1996): 126. 40. Ibid. 41. Richard Nelson and Sidney Winter, An Evolutionary Theory ofEconomic Change (Cam­ bridge, MA: Belknap Press, 1982). 42. Alfred D. Jr. Chandler, The Visible Hand: The Managerial Revolution in American Business (Cambridge, MA: The Belknap Press, 1977), p. 294. 43. Ibid., p. 334. 44. Naomi Klein, No Space, No Choice, No Jobs, No Logo: Taking AimAt The Brand Bullies (NY: Picador USA, 2000). 45. Ibid. 46. Friedrich A. Hayek, '''Free' Enterprise and Competitive Order," in Individualism and Economic Order (Chicago: Universiry of Chicago Press, 1948), pp. 113-14. 47. Lionel Charles Robbins, The Economic Basis of Class Conflict and Other Essays (London: Macmillan, 1939), p. 74. 48. Milton Friedman, Capitalism and Freedom (Chicago: Universiry of Chicago Press, 1962), p.127. 49. See William D. Nordhaus, "An Economic Theory of Technological Change (in Theory of Innovation)," American Economic Review, Vol. 59, No.2 (May 1969): 18-28. 50. Edwin Mansfield, Mark Schwartz, and Samuel Wagner, "Imitation Costs and Patents: An Empirical Study," Economic Journal, Vol. 91, No. 364 (December 1981): 913. 51. Richard Levin, Alvin Klevorick, Richard Nelson, and Sidney Winter, "Appropriating the Returns from Industrial R&D," Cowles Foundation Working Paper, 1988, p. 913; see also Mansfield, Schwartz, and Wagner, 1981, "Imitation Costs and Patents," p. 913; and see also Nancy T. Gallini, "Patent Policy and Costly Imitation," Rand Journal ofEconomics, Vol. 23, No.1 (Spring 1992): p. 52. 52. Richard R. Nelson, "Capitalism as an Engine of Progress," Research Policy (1990): pp. 193- 214; reprinted in Richard R. Nelson, The Sources of Economic Growth (Cambridge: Harvard Universiry Press, 1996): p. 65. 53. Levin, Klevorick, Nelson, and Winter, "Appropriating the Returns from Industrial R&D." 54. Boston Consulting Group, The Pharmaceutical Industry into Its Second Century: From Serendipity to Strategy (Boston Consulting Group, 2000), p. 9. 55. Amy Barrett, Ellen Licking, and John Carey, "Pharmaceuticals: Addicted To Mergers?," Business Week (December 6, 1999): pp. 84-88. 56. Stephen S. Hall, "Claritin and Schering-Plough: A Prescription for Profit," New York Times Magazine (March 11,2001): p. 57. Gardiner Harris, "Drug Makers Pair Up to Fight Key Patent Losses," Wall Street Journal (May 24, 2000a): p. B 1; and David E. Rosenbaum, "The Gathering Storm Over Prescription Drugs," New York Times (November 14, 1999): p. D 1. 58. Harris, "Drug Makers Pair Up to Fight Key Patent Losses"; Rosenbaum, "The Gathering Storm Over Prescription Drugs." 59. Sheryl Gay Stolberg and Jeff Gerth, "Holding Down the Competition: How Companies Stall Generics and Keep Themselves Healthy." New York Times Ouly 23,2000). 60. Ove Granstrand, The Economics and Management ofIntellectual Property: Towards Intellec­ tual Capitalism (Edward Elgar, 2000), pp. 39 and 53; Michael P. Ryan, Knowledge Diplomacy: Global Competition and the Politics ofIntellectual Property (Washington, D.C.: Brookings Institution Press, 1998). 61. Fred Warshofsky, The Patent Wars: The Battle to Own the World's Technology (NY: Wiley, 1994), p. 8; see also Robert M. Hunt, "Patent Reform: A Mixed Blessing for the U.S. Economy?," Business Review of the Federal Reserve Bank of Philadelphia (November­ December 1999): p. 19. 2 1 6 I STEAL THIS IDEA 62. Paul A. David, "Intellectual Property Institutions and the Panda's Thumb: Patents, Copyrights, and Trade Secrets in Economic Theory and History," in Mitchel B. Wallerstein, Mary E. Mogee, and Robin A.
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