The Globalization of Intellectual Property Rights: Much Ado About Nothing?

Abstract

It is hardly surprising that companies try to exploit their intellectual property rights (IPRs) globally. This has generated heated debates about the advantages and disadvantages associated with the global regime of IPRs. The aim of this chapter is to put the debate in the right context of what IP can actually do, and what they cannot do, in order to reward inventors and innovators and to prevent imitators. The generation, transmission and diffusion of knowledge are complex phenomena and both supporters and detractors of IPRs often tend to exaggerate the effects that IPRs have in the economy and society. We present two ideal-type models for and against IPRs and discuss their limitations. In our view, both models overemphasize the role of IPRs in the world economy.