Download this Paper Open PDF in Browser

Intellectual Property Law and the Boundaries of the Firm

11 Pages Posted: 29 Jun 2004  

Oren Bar-Gill

Harvard Law School

Gideon Parchomovsky

University of Pennsylvania Law School; Bar Ilan University - Faculty of Law

Multiple version iconThere are 2 versions of this paper

Date Written: June 24, 2004

Abstract

Arrow's disclosure paradox implies that information that is not afforded legal protection cannot be bought or sold on the market. This paper emphasizes the important relationship between the paradox of disclosure and the boundaries of the firm question. Only legally protected inventions, i.e., patented inventions, may be traded; pre-patent stages of the innovation process may not. Consequently, by force of law, rather than by the guidance of economic principle, pre-patent innovation must be carried out within the boundaries of a single firm.

Keywords: Boundaries of the firm, disclosure paradox, intellectual property law

JEL Classification: D23, K11, L22

Suggested Citation

Bar-Gill, Oren and Parchomovsky, Gideon, Intellectual Property Law and the Boundaries of the Firm (June 24, 2004). U of Penn, Inst for Law & Econ Research Paper 04-19; Harvard Law and Economics Discussion Paper No. 480. Available at SSRN: https://ssrn.com/abstract=559195 or http://dx.doi.org/10.2139/ssrn.559195

Oren Bar-Gill (Contact Author)

Harvard Law School ( email )

1575 Massachusetts
Hauser 406
Cambridge, MA 02138
United States

Gideon Parchomovsky

University of Pennsylvania Law School ( email )

3501 Sansom Street
Philadelphia, PA 19104
United States
215-898-1603 (Phone)

Bar Ilan University - Faculty of Law ( email )

Ramat Gan 52900
Israel
972-2-5317078 (Phone)

Paper statistics

Downloads
424
Rank
27,813
Abstract Views
2,485