Changes

==Controversy==

==Controversy==

Patents are a distortion of the [[free market]], since they essentially create an artificial [[monopoly]] for the patent holder. Many economists believe that patents are a good idea nevertheless, because they encourage research and development and the products that result ultimately increase net welfare for consumers. Also, the details disclosed in a patent may lead to further improvement of a product by other inventors.

Patents can be viewed as a sparkplug of the [[free market]] in motivating innovation and new products.  Critics call patents a distortion of free enterprise, however, establishing a temporary [[monopoly]] for the patent holder. But the monopoly is only for a new creations that may not exist in the absence of the patent, so the criticism may be misplaced.

 

Many economists believe that patents are a good idea nevertheless, because they encourage research and development and the products that result ultimately increase net welfare for consumers. Also, the details disclosed in a patent may lead to further improvement of a product by other inventors.

Some opponents of patents believe that any such distortion of [[free trade]] and other free market outcomes is automatically bad for society. Other critics believe that patents are too easily abused. "Patent trolls" may defend their patents not to protect their own interests in producing a product, but merely to harm competitors. Other critics of patents contend that the U.S. Patent and Trademark Office does a poor job of reviewing applications, often issuing patents that are too broad or that overlap previously patented inventions.

Some opponents of patents believe that any such distortion of [[free trade]] and other free market outcomes is automatically bad for society. Other critics believe that patents are too easily abused. "Patent trolls" may defend their patents not to protect their own interests in producing a product, but merely to harm competitors. Other critics of patents contend that the U.S. Patent and Trademark Office does a poor job of reviewing applications, often issuing patents that are too broad or that overlap previously patented inventions.