I was thinking about why the market lends itself so well to monopolistic
practices, and how quality can help to bridge this rift. I think, looking
at the major monopolists, that patents are a big problem. Patents allow
individual companies to have exclusive rights to a particular
technology/invention etc. Once these exclusive rights are given then
immediatly the pattern tends towards static. These patents are used to
impliment false bottom lines, by way of monopoly (which as a few of you have
pointed out, is indeed static like). This prevents, in a big way, other
frims/individuals using that particular discovery, resulting in reduced
chance of this technology being improved upon. The improvement of whatever
the patent was for is the embodiment of quality, improvement, or as I
believe this may also be called evolution. Somehting being in essentially
all aspects superior from what it began with. Patents prevent this. Using
statistics this is painfully obvious, purely less people being able to
attempt something, not very high quality. If a producer can come up witha
way of producing say, teflon, for halff the current price then surely this
would be a good thing, for the entire society as a whole. However as dupont
holds the patent, other companies are not even able to try, as it is
illegal. This is ludicrous and shows no interest in the common good. I am
completely aware that it (patents) are so the effort (research and
development costs etc), expertise and entrepreneurship are duly rewarded,
however this I beleive does not offset the loss of social welfare as a
result of such monopoly inducing practice. Everyone should be able to
produce anything, if they have the ability to do so at a lesser price than
is currently being offered (obviously as if it were more expensive then they
wouldnt sell it) Using patented knowledge as a sheild should be frowned
upon from all angles. This would create a very dynamic environment, and
also one that should sit well with market demand/supply theorists. If
patents were rendered null and void then people as individuals would have
access to such information, (after all in the "free" market we are the ones
that are paying the money anyway) and individuals with the ability to
understand the theory would be able to produce their own, in situations that
allow (obviously we couldnt go out and make a jumbo jet), or be able to
theorise a new way of doing things = dynamic (Like the removel of a shear
pin from the side cover of a motorcycle, maybe you come up with a new way
that has never been done before and make a million dollars) We are being
prevented from using the knowledge that humanity through the ages has
provided us with, and this I think is a big problem, seeing as each and
every one of us has had a role, however small, of allowing that discovery to
happen.
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