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The 2011 America Invents Act: Does it Undermine Innovation?
Author(s) -
Miyagiwa Kaz
Publication year - 2015
Publication title -
journal of economics and management strategy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.672
H-Index - 68
eISSN - 1530-9134
pISSN - 1058-6407
DOI - 10.1111/jems.12092
Subject(s) - creativity , race (biology) , law and economics , intellectual property , political science , sociology , law , gender studies
With the 2011 America Invents Act, the United States discarded its century‐old first‐to‐invent patent‐awarding system in favor of a first‐to‐file rule. Critics have argued that the first‐to‐file rule rewards speed in patent applications rather than creativity, thereby undermining innovation. We evaluate this concern within a dynamic model of a patent race, and find first‐to‐invent (weakly) more conducive to innovation than first‐to‐file. Defending prior users’ rights can promote both pro‐ and anti‐R&D effect of a switch to first‐to‐file.