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In this article, we give an overview of the differences in German patent legislations between 1815 and 1876. German patent laws differed in particular with regard to the application and approval system, the treatment of foreign applicants, and patent fees. Differences in the former two categories provide an explanation why the number of patents was considerably lower in Prussia than in other states. While the number of Prussian patents per capita almost stagnated between 1840 and 1872, it increased in Baden, Bavaria and Saxony. Formal differences in patent law do not fully explain this pattern, but Prussian patent policy does. The Prussian patent authority set high barriers to get a patent by applying a thorough technical examination and a strict definition of novelty. Furthermore, we show that states using a registration system granted a considerably higher number of patents than states with technical examinations. [ABSTRACT FROM AUTHOR]

Human capital, access to markets, and innovation-friendly institutions were important preconditions for the acceleration of technological change during the industrial revolution. In this context, the recent literature discusses the role of patents. Given their dual nature, patents may have either stimulated innovation through the creation of financial incentives for inventors or they may have hampered innovation, because they created monopolies that restricted the free flow of knowledge. For this reason, the overall effects of patents on innovation and, eventually, long-run economic growth are not clear. In order to develop a better understanding of the determinants of innovation, this special issue of the Economic History Yearbook therefore focuses on the causes and consequences of patent laws and patent law reforms in the nineteenth and early twentieth century in different European countries. [ABSTRACT FROM AUTHOR]