Antitrust, Innovation, and Competitiveness

By Thomas M. Jorde; David J. Teece | Go to book overview

Appendix: National Cooperative Research and Commercialization Act (NCRCA)

Legislative Proposal by Professor Thomas M. Jorde and Professor David J. Teece, University of California at Berkeley

(As amended from National Cooperative Research Act (NCRA), 15 U.S.C. §§ 4301-4305 (Supp. 1986). Where possible, the NCRCA retains the language and structure of the NCRA.)


SECTION 4301. PURPOSES
a. THE CONGRESS FINDS THAT--
1. technological innovation and its profitable commercialization are critical components of the United States' ability to raise the living standards of Americans and to compete in world markets;
2. cooperative arrangements among nonaffiliated firms in the private sector are often essential for successful technological innovation and commercialization;
3. the antitrust laws tend to inhibit cooperative innovation arrangements because of uncertain legal standards and the threat of private treble damage litigation;
4. cooperative innovation efforts present little or no threat to competition when cooperating firms lack substantial market power, or when cooperative activity takes place in industries experiencing rapid technological change;
5. the uncertainty of substantive antitrust standards and the potential delays of antitrust litigation are especially troublesome in fast paced industries experiencing rapid technological change; and
6. present antitrust law unwisely treats mergers more favorably than more flexible, less permanent contractual and strategic relationships.
b. It is the purpose of this Act to promote innovation and profitable product commercialization, facilitate trade, and strengthen the competitiveness of United States based firms in world markets by clarifying the legal standards applicable to cooperative innovation arrangements and by establishing a procedure by which firms may seek approval for their cooperative innovation arrangements from the Department of Justice, in consulta
____________________
A detailed explanation of the proposed legislation can be found in High Technology Law Journal, 4:1 ( 1989): 62-80.

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Antitrust, Innovation, and Competitiveness
Table of contents

Table of contents

  • Title Page iii
  • Preface vii
  • Notes viii
  • Contents ix
  • Contributors xi
  • 1 - Introduction 3
  • Notes 25
  • References 27
  • 2 - Antitrust Law as Industrial Policy: Should Judges and Juries Make It? 29
  • Notes 45
  • 3 - Innovation, Cooperation, and Antitrust 47
  • Notes 63
  • References 68
  • Appendix: National Cooperative Research and Commercialization Act (ncrca) 71
  • 4 - Antitrust: Source of Dynamic and Static Inefficiencies? 82
  • Notes 95
  • References 96
  • 5 - Agreements Between Competitors 98
  • Notes 114
  • 6 - Ignorance and Antithrust 119
  • Notes 132
  • 7 - Antitrust Lenses and the Uses of Transaction Cost Economics Reasoning 137
  • Notes 158
  • References 161
  • 8 - Monopoly Conduct, Especially Leveraging Power from One Product or Market to Another 165
  • 9 - Market Structure and Technical Advance: The Role of Patent Scope Decisions 185
  • Notes 219
  • 10 - Conclusion 233
  • Index 235
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