• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Economics Commentary #1 Patent Lawyer Demand Rises Following U.S. Legislative Overhaul Bloomberg, Oct. 8, 2011

Extracts from this document...

Introduction

Yuliya Pakhilka IB Economics Page IB Economics Commentary #1 ?Patent Lawyer Demand Rises Following U.S. Legislative Overhaul? ? Bloomberg, Oct. 8, 2011 Word Count: 601 Due: October 17, 2011 IB Syllabus Section II Yuliya Pakhilka ________________ The extract explains how the quantity demand for patent lawyers far surpasses the quantity supply of patent lawyers. Quantity demand is the want, ability, and willingness of consumers to purchase a good or service. Quantity supply is the amount of a good or service that a seller is willing to sell at a specific price. The service that the extract describes is that which is provided by a patent lawyer, preferably one with a degree in engineering or computer science as well as at least four years of experience in a strong law firm. ...read more.

Middle

The high price and low quantity result in a very high equilibrium, or the optimum price and quantity of a good or service. The demand for a patent lawyer is directly proportional to the advancements of technology. To keep up with demand, more patent attorneys and patent agents are being hired; however, a law firm cannot just produce 100 new attorneys to keep up with client needs, making this a service with low supply elasticity. A low supply elasticity means that one will only see significant changes in supply during the long run, which is a period of time long enough for companies to enter or leave the market. ...read more.

Conclusion

Many of these advancements may also increase the productivity of manufactured goods, allowing sellers to produce more products for the same cost. This will cause the equilibrium price to decrease, benefitting buyers. Basically, once the shortage of patent attorneys is cleared (where there is neither a surplus nor a shortage), the entire market, in theory, will benefit. The winners in this situation are the patent lawyers, inventors, and anyone that would benefit from an increase in technology. The losers in this situation are the other types of lawyers and the workers that an increase in technology would replace. In the long term, an increase in patent attorneys will be noticeable due to the fact that more individuals will want to fill the 12% gap in supply and demand. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our International Baccalaureate Economics section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related International Baccalaureate Economics essays

  1. IB Economics Commentary - Australia MPs Pass Carbon Tax The Guardian October ...

    The community surplus is not maximized due to the effects of pollution, since it is causing a negative consequence. One way government policies may counter the problem is to tax the firm in order to increase the firm's private costs.

  2. Old IB Questions

    Monopolistically competitive firms compete with each other on the basis of both price and non-price competition. The more successful they are in increasing their sales and market share through non-price competition methods, the less they need to rely on price competition.

  1. Extended Essay Economics

    There is also a great deal of nonprice competition in the pharmaceutical industry. This is through product differentiation and then advertising the differentiated product to consumers. It is these aspects of an oligopoly that correspond to the pharmaceuticals market in Venezuela.

  2. Growth and Development Problem Set - IB Economics exam questions and answers.

    * Problem of double counting- This is where the output of one production process become input to another process leading to double counting the value of the good. To avoid this problem the added value at each production process is used to calculate the national income figure.

  1. Macro Economics Notes

    But there are limitations to GDP data. For instance take two countries - UK and France. The UK has the higher GDP. Does this mean that the UK is richer than France? Not necessarily as the difference is relatively small and so the differences are not significant enough to say conclusively that one is richer than the other.

  2. Economics Commentary - demand for lactose free milk.

    are fast foods and beverages such as hamburgers, pizzas, french fries, fried chicken, cokes and all of those foods that are made from chemicals and artificial flavorings which contains large quantities of fats, oils and sugars, this is one of the causes of premature obesity, a severe problem of children and teenagers that provoke fatness at a young age.

  1. case study economics

    The market thus remains in equilibrium. The healthcare sector (NHS) does not follow this structure of market equilibrium. The figure below shows the demand for healthcare in the private and public healthcare. This follows the demand laws that when prices increase then the demand for the good decreases as can be in seen in the demand for private healthcare services.

  2. Economics Essay on Supply and Demand and the operation of markets.

    In the world of economics, the two most influential factors, which would be supply and demand, won?t always lead to the optimal allocation of resources. Reasons for market failing can occur in numerous ways, as the world is not completing ideal and therefore the government intervenes to some degree.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work