Economics of IPRs

Coordinating professors: Dr. Katerina Lyroudi

Aleksandar Stojkov, Ph.D.
SS.Cyril and Methodius University of Skopje, Iustinianus Primus Law Faculty

Course Description/Overview

This course seeks to introduce students to the economic foundations of the intellectual property system. It will begin by surveying the general economic arguments/ideas underpinning the intellectual property regime. It will then go on to address the specific economics of the patent, copyright and trademark systems, respectively. This course is intended for non‐economists. Indeed, it is being taught by a non‐economist. To be sure, there is a certain amount of economic analysis involved; however, students should not get "tripped‐up" by the economic models in the reading. Instead, students should focus attention on issues such as optimal scope of IPR rights, access versus incentive, the possibility of alternative models, etc. Student participation in class is essential to invigorating discussion and facilitating the overall learning experience. Questions will be asked to stimulate discussion. Comments/thoughts are always welcome. Of course, completing the preparatory reading materials will be critical in this regard. As such, please do your best to read the required reading materials listed below. Given our limited time, we may not be able to cover all required texts; however, knowledge of the texts will contribute to the quality of classroom discussion.


Required Reading

  • François Lévêque and Yann Ménière, The Economics of Patents and Copyright,
  • Berkley Electronic Press (2004).
  • Nicholas S. Economides, The Economics of Trademarks, 78 Trademark Rep. 523 (1988)
  • William M. Landes and Richard A. Posner, The Economics of Trademark Law, 78
  • Trademark Rep. 267 (1988)
  • Mark A. Lemley, Property, Intellectual Property, and Free Riding, 83 Tex. L. Rev.

Secondary Reading

  • General
    • Richard A. Posner, Intellectual Property: The Law and Economics Approach,
    • J. Econ. Persp., Vol. 19, N. 2 (2005).
  • Patents
    • Edmund W. Kitch, The Nature and Function of the Patent System, 20 J.L. & Econ. 265 (1970)
    • Fritz Machlup, An Economic Review of the Patent System, Subcommittee on Patents, Trademarks & Copyrights of the Senate Committee on the Judiciary, 85th Cong., 2d Sess.
  • Copyrights
    • Stephen Breyer, The Uneasy Case for Copyright: A study of Copyright in
    • Books, Photocopies, and Computer Programs, 84. Harv. L. Rev. 281 (1970).
  • Trademarks
    • Frank I. Schechter, The Rational Basis of Trademark Protection, 40 Harv.L.Rev. 813 (1927).