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Microsoft Wants Galactic Patent

Despite a potentially crippling patent injunction against selling Word that Microsoft is battling on appeal, Microsoft, via a senior lawyer, is nevertheless calling for a global patent system “to make it easier and faster for corporations to enforce their intellectual property rights around the world”. Yep–despite the big hit they just took due to i4i’s patent, Microsoft is concerned about the “unmanageable backlogs and interminable pendency periods” of national patent systems, which have 3.5 million patents pending. You heard that right–Microsoft thinks more is “needed to be done to allow corporations to protect their intellectual property.” What, do they want i4i to be able to get sextuple, instead of just triple, damages? To jail Microsoft board members?

Microsoft’s lawyer repeats the tired old bunk about patents being necessary to promote innovation, yada yada — “By facing the challenges, realizing a vision, overcoming political barriers, and removing procedural obstacles we can build a global patent system that will promote innovation, enrich public knowledge, encourage competition and drive economic growth and employment.”

Two good things about this: (a) a global system would, possibly, reduce the number of patent lawyers; and (b) I was feeling sorry for Microsoft over the Word injunction, but now don’t need to anymore.

Update: Let me add that I think this has no chance of happening. The patent lawyers in countries around the world would block it. The way the system works now, you file a patent application first in your home country, and within a year or two (depending on whether you use the Patent Cooperation Treaty (PCT) or Paris Convention procedures), you can file corresponding patent applications in other countries or regions claiming a priority date based on your first country’s filing date. But you have to pay filing fees, sometimes translation fees (which can be astronomical), local attorney fees, and local maintenance fees in each country you want the patent to issue in. Let’s say it costs $15-20k for a patent to be filed and ultimately issued in the US. Well you might want to have the patent filed also in, say, the European Union, Japan, China, Brazil, Canada, India. So now we are up to well over $100k-200k.  And that is not even global. Under a global system presumably you would file once and it would be enforceable in every country in the world party to the treaty. It might be more expensive than the current $20k for a single country but far less than cost of filing in multiple countries now. So presumably under a global system, you would file a patent infringement suit in the appropriate court, and if you win, you just take the judgment to local courts in whatever countries the defendant is competing with you and have that country’s courts enforce the judgment as a mere formality.

This would make global patents easier and cheaper to get and easier and cheaper to enforce. Presumably people would want to use European or American local patent examining offices for quality purposes, so it would tend to put out of work the patent bar in “Southern” (third world) countries. You can expect a mobilized patent bar in most countries to fight this. Such proposals have been around for decades, and never go anywhere. Thank God for protectionist lawyers!

[Mises Blog cross-post; Against Monopoly cross-post]

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Happy Birthday, Hans!

hoppe-schulak-siemens-2005Today, Professor Hoppe turns 60–happy birthday, Hans!

In honor of his birthday and achievements in the cause of economic science and liberty, he was presented with the Property, Freedom, and Society: Essays in Honor of Hans-Hermann Hoppe festschrift at the end of July during Mises University 2009–about a month early. And today, the Google books version has gone up too.

[Mises blog cross-post; LRC cross-post]

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Volume 3 of Rothbard’s History of Economic Thought

It’s a tragedy Rothbard died in 1995, before he could finish his History of Economic Thought series. At the time of his death, he had only published volumes I and II (epub and PDF files available here). However, as noted in the Mises store entry for Vol. III, The History of Economic Thought: From Marx to Hayek, although he “died before he could write his third volume of his famous History of Economic Thought that would cover the birth and development of the Austrian School, through the Keynesian Revolution and Chicago School,” “he had already mapped out the entire project.” And, it turns out: it’s on tape! “Fortunately, the Mises Institute had Rothbard lecture on his discoveries and analysis of this period while he was researching the topic. The tapes were only recently discovered. We re-mastered them, and put them on a single MP3-CD: nearly seven hours of lectures.”

See links in The History of Economic Thought: From Marx to Hayek, with links below; see also these youtube playlists: 1, 2.

***

Note:  The links below now also contain transcriptions of the lectures (thanks to a donation from Thomas Topp), which I have stitched together as a single file (PDF).

Update: Many of these links are now broken by mises.org. See above links for current media.

[continue reading…]

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[From my Webnote series]

Related:

From Mises blog. Archived comments below.

The question of how to objectively determine damages for negligence (tort) in a libertarian system often arises. There is not much solid, libertarian analysis out there on this issue–the answers are usually either positivistic and assume some presumptive validity of common law rules; or they are libertarian but without much mooring in any coherent libertarian legal theory.

I don’t have a fully-developed view of this but I have touched on these matters in some publications and have always meant to return to this issue. I haven’t done so yet, but given the lack of much systematic libertarian treatment of this I will set forth below some tentative thoughts on how to approach this issue. [continue reading…]

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At Recovery or Stagnation?, a Mises Circle held in San Francisco on August 29, 2009, there was a great Speakers’ Panel featuring Walter Block, Thomas DiLorenzo, Douglas French, and Robert Murphy. Great comments on the current financial mess.

One thing that especially interested me were Walter Block’s comments from about 12:45 to 13:35, where he distinguishes between economic theory and one’s ability to predict or forecast. Sure, having a sound understanding of theory can help, but it cannot make your predictions foolproof. For example one’s understanding of the business cycle might lead you to recommend buying gold; but then the state might confiscate gold soon after that.

This brings to mind some discussions I’ve had about the nature of economics and its role in investing or forecasting. My view is the Misesian-Rothbardian-Hoppean one, which I understand to be that the future is uncertain, but not radically so; that knowledge of economics laws can help, ceteris paribus–but that usually other factors are dominant. The skill of forecasting is called the understanding, or verstehen; but it is not merely “luck,” as some in thrall to monism-scientism are wont to deride it. Peter Klein mentioned to me that the question of why or how someone has the better skill at forecasting is really meta-economics—more of a psychological field, which is studied at Effectuation, from a Kirznerian perspective. It could be that one reason Austrian investors don’t dominate is that economic understanding only gives you a second order marginal advantage over others, that psychological or other factors are more important.

In other words, the better your economic understanding, the better a forecaster you can be. The future, while uncertain, is not radically so, and knowledge of economics helps constrain the possibilities. So ceteris paribus someone with a better understanding of economics would be a better investor. The problem is the ceteris is not usually that paribus; that economic knowledge is only a small factor of investing success, since it depends also on other factors, which apparently usually tend to dominate-other factors such as the possession of capital to invest; your access to certain knowledge or data; and your investing ability or knack, the leftover part that is more art, that Mises called verstehen. Possible, in times of a typical Austrian business cycle bust, sound economics could play a bigger role in one’s ability to forecast, which could explain why Austrians like Schiff and others are standing out right now.
[continue reading…]

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Bouckaert on Property Assignment Rules

Boudewijn Bouckaert‘s great article, What Is Property? (Summer 1990 Harvard Journal of Law & Public Policy) has a nice comment on the need for property rules:

The notion of scarcity serves at the same time as the most important explanation and justification of property rights arrangements. Scarcity is explicitly the rationale for modern “law and economics,”[48] and it is implicit in several older works of other legal philosophers and theorists.[49] It is argued that scarcity will involve a dimension beyond mere allocation when two or more persons consider one good as a means for the satisfaction of their wants and when the use they intend to make of it is incompatible. One cannot reduce this distributive scarcity to mere allocative scarcity because this would require the possibility of weighing utilities by a super-individual authority. Because distributive scarcity is unavoidable, only three outcomes are possible: (1) permanent conflict–the assignments of scarce means are the result of the use of violence, ruse, and tactical games;[50] (2) resignation–a resource becomes the object of competition, both parties withdraw, and such withdrawal means isolation and a massive drop in world population; (3) rules–assignments of power over scarce resources to individuals, groups, families, the government, and so forth. Not only is it difficult to imagine how one might provide reasonable arguments for the two first solutions, but these solutions also would imply tremendous costs to the working of society. As a consequence, distributive scarcity can be considered a probable explanation and a compelling justification for some arrangements of property rights in society.

Update: Boudewijn Bouckaert, “From Property Rights to Property Order,” Encyclopedia of Law and Economics (Springer, forthcoming 2023).

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Spider-Man is the New Mickey Mouse

spidermanindex226_paDisney to buy Marvel Comics for $4B. Disney “will acquire ownership more than 5,000 Marvel characters.” The most popular ones, such as Spider-Man (who used to be my favorite until he swooned over Obama, revealing his fascist mindset), are not that old–Spider-Man was created in 1962. One can only imagine the Disney lobbying that we can expect when Spider-Man’s term nears expiration…

[Against Monopoly cross-post]

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Why Aren’t More Libertarians Women?

My question to Roderick Long, in this thread:

Roderick, a better question is: why aren’t more libertarians women? I mean if we are mostly male, then 40% of us should just have an operation. Why don’t we?

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One of the Most Evil Things I’ve Ever Heard

satanMatthew “Yglesias” says that parents who send their children to private schools should be taxed and charged even more, to penalize them for harming public schools by withdrawing their “resources and social capital out of the public school system and contributing to its neglect.”

So not only should they pay public school taxes. Plus private school tuition. But they should be taxed even more by the state for not participating in the state’s propaganda farms. For not harming their kids by subjecting them to indoctrination, danger, and inferior education. I am not kidding. This is sickeningly evil. And look at his cackling fiendish friends, saying “Countdown to tiresome idiot smarmily suggesting Matt’s a hypocrite for having this opinion…3…2…” and “Matt’s a hypocrite! Just kidding.”

This is the most evil proposition I’ve heard in some time. A person like this would not last long in a free society. What scum.

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Latest pretentious terms from today’s Slate Political Gabfest (feel free to email me suggestions or leave them in the comments to the main page):

  • banal
  • imprimatur [and Emily mispronounces it as im-PREE-muh-tyure–at 24:00]
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Weak Defense of IP

I’ve seen a lot of weak and pathetic arguments for IP, but this one takes the cake. (With reference to David Koepsell: Another Austrian-Influenced IP OpponentComment on Koepsell’s “A methodical response to Chris Holman’s ‘review’”, Are Libertarians For Intellectual Property?: Comment on David Koepsell’s “Why I Believe Gene Patenting is Wrong”.) See the comment by one David Mayes to Are Libertarians for Intellectual Property? (I believe he is responding to my comment: “I’m also affiliated with the Mises Institute, so I suppose Mr. Mayes has my work in mind when he unfairly, uncharitably, and falsely disparages and dismisses us as ‘idealogues.'”):

Stephan, I am not familiar with you or your work at all.

I believe we have different psychological perspectives on approaching patenting DNA. I feel connected to the history that has led to the current biotechnology infrastructure. Also, I feel connected to the type of libertarianism advocated by CEI and Cato embracing limited government which is practiced ubiquitously in the US at the municipal, state and federal levels. Since no government entity in the US, that I am aware of anyway, practices the von Mises ideal of political economy, ther must be a disconnect with what is going on and possibly some feeling of alienation.

I do not think that Tom Palmer is an idealogue. Upon reading about his background, I discovered he has affiliations with the Institute for Humane Studies. This would explain his conservative and moral objections to patenting DNA. Obviously, Cato respects his individuality on this issue which contrasts their official position and that is what their brand of libertarianism is all about. In contrast, I would imagine that a Mises scholar would have to quote Rothbard, Mises , or Hayek to give an official position which is my interpretation of an ideologue.

Main Entry: ideo·logue
Variant(s): also idea·logue
Function: noun
Etymology: French idéologue, back-formation from idéologie
Date: 1815
1 : an impractical idealist : theorist
2 : an often blindly partisan advocate or adherent of a particular ideology

A number of psycholigists refer to the ability to form a sense of self as the final stage of cognitive develoment. Unfortunately, not everyone reaches this stage. I have the highest respect for IHS since Leornard Liggio taught me classical liberalism and I consider him my favorite teacher of all. No one has influenced my politics as much as he has.

Here is an article titled “The FTC’s Suit Against Intel Is an Attempt to Steal Intellectual Property” by: Robert S. Getman on Ayn Rand’s official website regarding monopoly caused by IP. Rand actually feels there is a moral obligation to protect our intellectal capital.

http://www.aynrand.org/site/News2?page=NewsArticle&id=5275

But, actually my quote is referring to David Koepsell’s confusion with how libertarians justify a temporary monopoly. My discussions with other pragmatic liberatian scholars informed me of the heirarchy of core values.

Ain’t that somethin’?

My reply:

Dear Mr. Mayes, Strain as I might, I am confess that unable to discern even a hint of coherent argument in your no doubt higher level take on things. No doubt this is my own limitation due to being a “von Mises ideologue.” As best I can tell, you feel “connected” to something or another, and that settles it for you. How nice for you. Us lowly “von Mises ideologues” can only strive in vain to reach such lofty heights.

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Carl Sagan, Socialist Jerk

A friend on an email discussion mentioned Carl Sagan and noted he was good on skepticism of pseudoscience and mused about whether he was good on politics. Alas, no. As is typically the case of engineers and scientists brainwashed with scientism (The Trouble with Libertarian Activism, Libertarian Activism-comments, Yet More on Galambos, Engineers’ Syndrome and C.P. Snow’s “The Two Cultures” and Misesian Dualism), he was a clod on this issue. From a review of one of his books:

My second critique is with regard to Sagan’s contradictory political views. On the one hand, he argues against authoritarianism of any sort, he points out government waste, discusses how the government shouldn’t be anti-choice, and is upset that politicians only work for the short term since they are only working to get elected again. I agree with his assessment to this point. However, then he seems to argue out of the other side of his mouth that the government should be there to provide ever larger social safety nets (i.e., welfare, social security, entitlements, etc.), collect more taxes in some cases, give U.S. tax dollars to other countries, and fund projects that don’t justly benefit those doing the funding (taxpayers). I don’t understand how someone can reconcile the seemingly opposed views. If the government can’t do its current jobs well, why give it more to do inefficiently and ineffectively? If individuals should be the responsible party, why shift all the burdens (in the form of more tax dollars and more government spending) to governments?

And another friend stumbled across this amusing anecdote, which illustrates what a statist and/or arrogant jerk he was. From the Wikipedia entry on Sagan:

In 1994, Apple Computer began developing the Power Macintosh 7100. They chose the internal code name “Carl Sagan”, the reference being that the mid-range PowerMac 7100 should make Apple “billions and billions.” Though the internal project name was never used in public marketing, it did come up in Usenet postings and news of the name grew from there. When Sagan learned of this he sued Apple Computer to force the use of a different project name. Other models released conjointly had code names such as “Cold fusion” and “Piltdown Man“, and Sagan was displeased at being associated with what he considered pseudoscience. (He was at the time writing a book discrediting pseudoscience.) Though Sagan lost the lawsuit Apple engineers complied with his demands anyway and renamed the project “BHA” (for Butt-Head Astronomer). Sagan promptly sued Apple for libel over the new name, claiming that it subjected him to contempt and ridicule, but he lost this lawsuit as well. Still, the 7100 saw another name change: it was finally referred to internally as “LAW” (Lawyers Are Wimps).

This reminds a bit of the story in Shades of Galambos!

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