Study On The Right Of Government In Patent Use

Monopolization,Public goods and externalities is the most important reason of Market failure. The implementation of patent also have the same characteristics: Because of the patent own characteristic property, the patentee can have some certain monopoly right .,putting process into practice in the patent can produce monopoly profits; patent also have the characteristic of Public goods, that means it is not exclusiveness, consumption of patent will not affect other consumer, the owner of Patent Technology can not deter outside from overflowing of technology effect; Implementation of patent could produce outside effect , here outside effect has been an effect mainly point to promoting to technological progress ,That could improve the research capacity of Scientific research units and institution ,Promoted the industrial clusters ,change the enterprise outlook on values , promote optimization and upgrading of the industrial structure ,and enhance country overall strength etc. Therefore, it is necessary for government to carry out inspection to patent. That could balances patentee's benefit and benefit of entire society, and avoids the loss of social benefits.The United States have the most patents in the world. Its protection of patent is also the best. Since Bayh-Dole Act has been promulgated, a variety of measure for the patent protection provides a fine environment for domestic investment and science and technology development, it also encourages the inventers, scientist and entrepreneur. In the same period many enterprises which have international competition in the market developed and expanded fast. A lot of countries in Europe also pay more attention on patent and increase the financial input. At same time they take a lot of protective measures. Therefore, the science and technology level are improved, economy is also reinforced development. From this background, for the aim to reinforce protection of our State patent right and prompt the development of Social productive forces and economic, it is necessary for us to study the reserved rights by the government in patent implementation. We analyze the reason why there existing in reservation rights and research the characteristic of the reserved rights, then design out the Patent policy adapt to our country benefit on this account.The core of this paper, it analysis the rights of patentee has some features of options, and that is similar for the reserved rights of the government. Whether the government needs to reserve the right lies on the patentee how to implement his patent. If the implement is able to satisfy social benefits, the government not carrying out inspection right away, but needs to carry out inspection if the patentee is only self profit for being able to be used reaching maximization. That the government reserves rights on patent is avoiding the loss of public benefit, the government reserved rights have some certain selective. The limited time of the reserved rights is equal to the patent limited time, if the protected time exceeds 20 years, the patent will become one kind of common product. The right that patentee monopolizes patent disappear, patent would be used for free. No matter the government is interfered with the progress, the certain social effects will be produced in the course of patent implement. So it is no significance for the government to remain the reserved rights. For this reason, the reserved rights should base on the patent right owned by patentee, That is to say the reserved rights of government is a compound option, an option is written on another option, the reserved rights of government is the option which patentee has. Because the type of the patentee reserved rights is uncertain, the type of whole compound option is uncertain too.In this paper, option gains and losses picture is different from the tradition option gains and losses picture. Because the paper analyzes the reserved rights of government and it is difficult to estimate the real value and its Social benefits of the patent. There only applying the concept of option to qualitative analysis on the magnitude of compound option. This approach can be a very good analysis of the reasons for the Government to retain the patent rights.The paper first analyzes the gains and losses in the course of patent implemented, then draw the gains and losses picture of the reserved rights of government, Horizontal axis is for different variables. Analyzing these variables you would find Government's decision-making points and how to balance the interests of patentee's rights and social benefits. We can conclude that the patent is not implemented for a long time, and the technology is very maturity, for this patent the government should protect. If the patent can be used in the different field, it must be a basic patent, the government should protect.