New Economics Papers
on Law and Economics
Issue of 2007‒06‒30
two papers chosen by
Jeong-Joon Lee, Towson University

  1. Corporate Governance and Collusive Behaviour By Buccirossi, Paolo; Spagnolo, Giancarlo
  2. A Brief History of Space and Time: the Scope-Year Index as a Patent Value Indicator Based on Families and Renewals By Bruno Van Pottelsberghe; Nicolas van Zeebroeck

  1. By: Buccirossi, Paolo; Spagnolo, Giancarlo
    Abstract: This chapter examines the relationship between corporate governance and competition, particularly with regard to cartel formation, and discusses how corporate governance and firm agency problems affect optimal law enforcement against cartels, both in terms of sanctions and leniency policies. Many of the conclusions appear applicable, with minor changes, to non-antitrust forms of collusion, such as collusion between auditors and management, and more generally to corporate and organized crime.
    Keywords: Amnesty; Antitrust; Cartels; CEO compensation; Collusion; Corporate crime; Corporate fraud; Corporate governance; Corporate liability; Corruption; Deterrence; Employee liability; Fines; Immunity; Imprisonment; Indemnification; Judgement proofness; Leniency; Managerial incentives; Optimal sanctions; Rewards; Whistleblowers
    JEL: G30 K00 L20 L40
    Date: 2007–06
  2. By: Bruno Van Pottelsberghe (Centre Emile Bernheim, Solvay Business School, Université Libre de Bruxelles, Brussels); Nicolas van Zeebroeck (Centre Emile Bernheim, Solvay Business School, Université Libre de Bruxelles, Brussels.)
    Abstract: The renewal of patents and their geographical scope for protection constitute two essential dimensions in a patent’s life, and probably the most frequently used patent value indicators. The intertwining of these dimensions (the geographical scope of protection may vary over time) makes their analysis complex, as any measure along one dimension requires an arbitrary choice on the second. This paper proposes a new indicator of patent value, the Scope-Year index, combining the two dimensions. The index is computed for patents filed at the EPO from 1980 to 1996 and validated in its member states. It shows that the average value of patent filings has increased in the early eighties but has constantly decreased from the mid-eighties until the mid nineties, despite the institutional expansion of the EPO. This result sheds a new and worrying light on the worldwide boom in patent filings.
    Keywords: Patent value, geographical scope, renewals, patent statistics, patent families.
    JEL: K1 L1 O34 O38
    Date: 2007–06

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