Novelty value is one of the legal requirements for a patentable innovation but it has been given relatively little attention in the literature. It is often abstracted away by assuming that any innovation is patentable. We study the optimal novelty requirement in a model where ideas are scarce,...

We study the value of innovation in a case study of one of the most visible innovative products in recent years, Apple's iPhone. The value effects of news announcements, patent publications, and trademarks relating to iPhone are taken into account. Our estimate of the lower bound on the value of...

We estimate the private value of Apple's iPhone by observing abnormal stock market reactions to news announcements and patent publications related to the innovation. Our estimate of the lower bound on the market valuation of iPhone is fairly high, at minimum 30 billion U.S. (event day) dollars....