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CATO on Software Patents

The CATO Institute attacks patents in an article entitled What Is a Software Patent?, by Christina Mulligan.  The article argues that the word “process” in the patent statute should be limited to those processes that have an effect on matter.  The article suggests that this would eliminate the “wrong” kind of patents.  Software is not patentable, per se, software is a set of written instructions and are just bad prose.  When people use the term “software inventions” they are talking about executing the software in hardware (electronic circuits).  What the software does is define the connections or wire the general purpose electronic circuit that we call a computer.  This special purpose electronic circuit consumes energy, generates heat, causes electrons to move – in short, it has an effect on matter.  The whole premise of the article is based on a lack of understanding of what software is.  Logically, the article has to address the issue that all “software inventions” are electronic circuits and therefor the article’s position requires that it explain why certain electronic circuits should be patentable and other electronic circuits should not be patentable. It should be noted that the author is not a patent attorney, has never written a patent or a claim, nor does she appear to have a technical background.  While this is not absolutely required, it leads to the obvious mistakes made in this article.

The Constitution requires Congress to protect the rights of inventors to their inventions.  There is no justification for the distinction made in this article.  An invention is a human creation with an objective and repeatable result.  For instance, the incandescent light bulb always puts out light when electricity of the right voltage and current is applied.  Art is a human creation with a subjective result.  Software enabled inventions are clearly a human creation and they have a repeatable, objective result.  The first patent ever issued in the US was for a Method of making potash and it was a method of doing business.  The inventor was not making potash as a hobby, he planned to make a business of it.  The label of “business method patent” is thrown around commonly, but never defined as it is not in this article.  All patents are about a method of doing business.

The article ends with praise for Mark Lemley.  Another law professor who is not a patent attorney, is not legally or factually competent to be a patent attorney, has never written a patent, has never written a patent claim, but somehow knows that we should not use “functional claiming.”  Mr. Lemley does not even know what functional claiming is.  What he appears to mean is that the claims should have to include every little step or element in the invention.  This would mean that if you were writing a patent about cell phones, you would have to claim the individual transistors.  Patent law had determined that this made no sense and as long as, for instance, heterodyne receivers were well known you could claim the heterodyne receiver without claiming the individual transistors or even explaining the invention to this level of detail.  Patent law is right on this point and Lemely and the author are clearly wrong.

As a patent attorney, with a BSEE, an MS in Physics and twenty years of practicing patent law, it would be nice if CATO, when discussing patents and patent policy would actually include those who are factually and legally competent to be patent attorneys in technical discussions about patent law, including defining what software is.

 

Disappointed

Dale B. Halling

 

What Is a Software Patent?, by Christina Mulligan.

 
Hurricane Odile and Inventions

I have had the fortune or misfortune to be dealing with the aftermath of Hurricane Odile.  I have a client that has an invention that would have been able to restore power in just two days.  His invention is described in patent number 7589640. It senses the force load on a power pole and if it exceeds a certain level, the invention lowers the cross bars and power lines gently to the ground and turns off the sector switch (power).  Once the electrical lines and cross bars are on the ground, the wind loads are almost eliminated, which means the power pole is standing at the end of the storm.  Utility workers then remove the debris and use a winch type mechanism to raise the power lines and cross bars.

This invention cannot only save billions of dollars in utility repair damage per year, get power up in a tenth the time of present techniques, eliminate billions in lost business per year lost business, it also reduces the risk of injury to utility workers who are no longer required to climb utility poles and bystanders.  But that is not all, the inventor has engineered his poles so that they are less expensive to install originally than present utility poles.

GUESS WHO is opposing the inventor?  Unions.  Their members make a lot of money working storms and they don’t want any system that allows less skilled workers to setup utility poles.  Utility companies are ambivalent, because they are regulated and only allowed a certain return on capital.  Thus, all the money they save using the inventor’s system will not improve their bottom line one iota.  This is just another example of how regulation stifles inventions and makes our lives worse, more expensive and less safe.

 
Patent Trolls: Evidence from Targeted Firms

The paper, Patent Trolls: Evidence from Targeted Firms, by Umit G. Gurun and Scott Duke Kominer assumes that NPEs are enforcing patents of questionable validity.  However, the paper offers no proof of this and does not even try to justify this position.  Once you start with that position, it is a foregone conclusion that any litigation is unjustified and wastes resources.  However, the initial assumption is not proven and in fact many papers have shown the opposite.  If you do not start with this assumption then the paper’s whole argument falls apart.  Litigation losses by operating companies are a justified return to the inventor and their investors.  The operating companies are not victims, but victimizers and the return to inventors and their investors encourages more inventive activity.

 

The paper’s big conclusion is: 

“Specifically, in the years following litigation, firms against whom cases are dismissed produced spent on average $211 million (t = 1.96) more on R&D expenditures than firms that lost to NPEs.  These firms also spent on average $49 million more (t = 2.95) to acquire more in process R&D from outside.30 Furthermore, in the years following litigation, firms against whom cases are dismissed produced 63.52 more new patents (t = 2.96), and these new patents received 723.98 more citations (t = 3.45), relative to the group of firms that suffered the cost of NPE litigation.31 These large differences in R&D expenditure, patent production and in the quality of produced patents do not appear until after NPE litigation.”

Inherent in this statement is that anytime an operating firm that loses a patent litigation case to a NPE is a bad result.  If the firm was stealing an invention, then the fact that they lost is a good thing.

The companies that lost in litigation spend less on R&D according to the paper.  Perhaps that is because they were not as inventive to start with, perhaps it is because they decided to focus on manufacturing and purchasing their R&D from outside inventors, and perhaps it is because they lost a substantial amount of money.  These are not dire results or unexpected results or necessarily bad results.

The paper implies that NPE lawsuits result in less spending on R&D, but just because firms that lose patent lawsuits spend less on R&D in the years immediately following, does not mean that total R&D is down.  When inventors see their rights are upheld then they are encouraged to spend more time inventing.  Unless you measure the amount spent by independent inventors or inventive firms who now see their rights upheld, you cannot draw that conclusion.  These comments also apply to the citation differences.  The authors are only looking at the microeconomic system that they care about, but you cannot draw the macroeconomic conclusions they do, because they don’t consider all the macroeconomic effects.

The paper does not define what a NPE is.  It starts with this surprising conclusion, “We show that NPEs on average target firms that are flush with cash (or have just had large positive cash shocks).”  They needed a study to tell them that?  Of course NPEs focus on companies with cash on hand, why would they waste their time suing companies that could not pay them?  Especially after the eBay decision, in which they are unlikely to get an injunction.

 

The paper goes on to state:

“A new organizational form, the non-practicing entity (hereafter, NPE), has recently emerged as a major driver of IP litigation. NPEs amass patents not for the sake of producing commercial products, but in order to prosecute infringement on their patent portfolios.”

Edison, Tesla, Bell, Amstrong ‘amassed patents.’  In fact, most of the US’s greatest inventors were just inventors.  They did not create patents ‘for the sake of producing commercial products.’  They specialized in being inventors and let manufactures concentrate on manufacturing.  All of them were involved in numerous lawsuits.  The difference between them and today’s inventors is that the courts were much more likely to uphold their rights to their inventions.  As a result, manufacturers were much quicker to license inventions.  In fact, one study showed that in the late 1800’s an inventor’s chance of monetizing their invention if they received a patent was around 85%.  In other words they made money specializing as inventors.  Today that figure would be less than 2%.  Because courts allow companies like Google, Microsoft, Samsung, etc. to get away with stealing other people’s inventions, they make the calculated risk that it is better to go to court than pay an inventor a licensing fee.  As a result, inventors often have to team with someone with a deep pocket in order to get large corporations to pay them the licensing fees they deserve.  In fact, large companies such as IBM, Microsoft and others will also often team with people who are experts in licensing or litigation.

Division of labor is generally considered a positive in economics.  The fact that this paper is arguing against it means that it has to give extraordinary proof for its extraordinary claim.  The attack on NPEs is really an attack on the profession of inventing.  A uniquely American profession.

This is not an academic paper, it is a propaganda paper pretending to be science.

 

 

 

Patent Trolls: Evidence from Targeted Firms, by Umit G. Gurun and Scott Duke Kominer

 
CATO and Mercatus Center: Another Flawed Study on Patents

The paper, The True Story of How the Patent Bar Captured a Court and Shrank the Intellectual Commons, has a number of errors that show its conclusions are flawed.  The author’s errors in a related article, entitled How Many Jobs Does Intellectual Property Create? were well documented by Adam Mossoff and Mark Schultz in Intellectual Property, Innovation and Economic Growth: Mercatus Gets it Wrong.  This paper’s title purports to show the Court of Appeal for the Federal Circuit has been captured by patent attorneys, but never actually provides any evidence to support this assertion.  Below I will detail a number, but not all the other errors in this paper.

 

1) The article states.  “Just as other property rights internalize the social benefits of improvements to land, automobile maintenance, or business investment, patents incentivize the creation of new inventions, which might otherwise be undersupplied.”

This is the utilitarian model of property rights.  The US was not founded on the Utilitarian model it was founded on natural rights, which are incorporated the Declaration of Independence and into Blackstone’s Commentaries which formed the basis of US common law for the first century of the US. In fact, Blackstone specifically states that patents and copyrights are property rights based on Locke’s formulation.  See The Second Treatise of Civil Government; 1690; John Locke; CHAP. IX., Of the Ends of Political Society and Government.

There is no such thing as balancing test for property rights as implied by the author, this is a Utilitarian formulation of property rights.

 

2) The article states.  “A single, politically captured circuit court with exclusive jurisdiction over patent appeals has consistently expanded the scope of patentable subject matter. This expansion has resulted in an explosion of both patents and patent litigation, with destructive consequences.”

The myth of an explosion in patent litigation has been debunked many times.  As pointed out in the article The “Patent Litigation Explosion” Canard,

“First, it’s simply untrue. Award-winning economist, Zorina Khan, reports in her book, The Democratization of Invention, that patent litigation rates from 1790 to 1860 fluctuated a lot, but averaged 1.65%. Today’s patent litigation rates are around 1.5%. As Yoda would say: patent litigation explosion this is not, hmm, no. In fact, for three decades in Khan’s study patent litigation rates were higher than today’s litigation rate. From 1840-1849, for instance, patent litigation rates were 3.6% —more than twice the patent litigation rate today.”

Also see Massive Litigation Spike in Response to America Invents Act and The America Invents Act at Work – The Major Cause for the Recent Rise in Patent Litigation

Second there has not been an explosion in the number of issued patents.  The number of patents issued to US inventors in 1980 were 37,355 and in 2011 there were 108,626 that is a 3.5% increase in the number of patents per year, hardly an explosion in the number of issued patents.

The research and development cost  per patent has increased from around $1.2 Million per patent to around $4 Million per patent from 1955 to 2005 and GDP per patent over the same time period in constant dollars has increased from 60 million per patent to around 170 million per patent.  According to a paper by the Federal Research Bank of San Francisco[1], real industrial R&D has been growing at 3.7% per year between 1953 and 2000, while the number of patents per capita has been growing at 1.7% per year over the same period.  The number of citations per patent increased 3.3% per year over the 25 year period from 1975-1999.

 

3) The article states.  “As early as 1951, Simon Rifkind, a former federal judge in New York City, warned in a prescient essay that then-current proposals to create a specialized patent court would lead to “decadence and decay.”

This was the time period in which a Supreme Court Justice in 1948 would write “the only patent that is valid is one which the Court has not been able to get its hands on.”  Jungerson v. Ostby and Barton Co., 355 US 560.  This was also when the Supreme Court was applying its “flash of genus standard to patents.”  If Rifkind meant that it would result in courts that did not have this utter disdain of patents he was right.  However, this is hardly an objective measure.

 

4) The article states.  “Using a dataset of district and appellate patent decisions for the years 1953–2002, economists Matthew Henry and John Turner find that the Federal Circuit has been significantly more permissive with respect to affirming the validity of patents.”

Well given the Supreme Court’s attitude the only patent that is valid is one which the Court has not been able to get its hands on that is hardly a surprise.  One of the first things that Reagan did upon becoming president, was to create the Court of Appeals for the Federal Circuit.  This court does hear all patent appeals and actually had about half the Justice that were actually trained in patent law.  In order to be legally or factually competent as a patent attorney you have to have a technical background in science or technology, which none of the present Supreme Court justices have.  In addition, patent attorneys have to pass a separate bar exam that has one of the lowest pass rates in the US.  Patent law is a highly technical and specialized area, just like quantum mechanics is highly specialized and technical.  You would not ask an English professor how to solve a problem in quantum mechanics and expect anything sensible.  The same is true for patent law.

 

5) The chart in the article is a lie.  It shows the number of patents linearly, which would show any compound growth as an exponential.  In fact the number of issued patents has grown at a rate 3.5% from 1980 to 2011, hardly an explosion.

 

6) The article states.  “They estimate that patentees are three times more likely to win on appeal after a district court ruling of invalidity in the post-1982 era. In addition, following the precedents set by the Federal Circuit, district courts have been 50 percent less likely to find a patent invalid in the first place, and patentees have become 25 percent more likely to appeal a decision of invalidity.”

The 1970s was a period of time in which several appeals circuits had not upheld the validity of a patent in 25 years.  The FTC had a policy of nine no-nos of what you could not do with your patent without running afoul of the antitrust laws.  It is hardly surprising that Reagan and Congress wanted to strengthen the property rights of inventors.

 

7) The article states.  “The U.S. Supreme Court reversed the Court of Customs and Patent Appeals, holding that mathematical algorithms (and therefore software) were not patentable subject matter.”

Here the Supreme Court showed their complete ignorance of what a computer is and what software does.  Any electrical engineer knows that any device implemented in software can be implemented in hardware.  In fact, software just wires an electronic circuit (computer) to create an application specific device.  Engineers choose between these options based on the need for flexibility and lower cost (software) and speed (hardware) and have several choices in between.

In order to be logically against software patents, one has to be against all patents for electronic circuits.  This is the sort of nonsense you get from a court that does not understand the underlying technology.

 

8 ) The article states.  “State Street Bank v. Signature Financial Group (1998), the Federal Circuit broadened the criteria for patentability of software and business methods substantially, allowing protection as long as the innovation “produces a useful, concrete and tangible result.”

35 USC 101 states “Whoever invents or discovers any new and useful process, machine, manufacture, or composition of matter, or any new and useful improvement thereof, may obtain a patent therefor, subject to the conditions and requirements of this title.”  A computer implemented invention is a new and useful machine and useful process.  Seems like the Federal Circuit got it right.

 

9) The article states.  “The GAO estimates that more than half of all patents granted in recent years are software-related.”

The GAO counted any invention that includes some sort of software, firmware, or related.  Let’s see, a procedure to sequence DNA would probably use a machine that had software or firmware and therefor met the GAO’s definition.  A chemical patent that used any computer controlled machinery would count as a software patent under this definition.  Today most transmission systems are computer controlled and therefore meet this definition.  This standard is so loose as to meaningless.

 

10) The article states.  “While more patents have not resulted in faster economic growth, they have resulted in more patent lawsuits.”

This statement will take some unpacking.  First of all the 1980s and 1990s saw significantly faster growth than the 1970s, which had a significantly weaker patent system.  Second of all the patent laws were weakened starting in 2000 with the Patent Act of 2000.  This trend has continued to this day.  In 2002, we passed Sarbanes Oxley which made it almost impossible for startups to go public, which starved startups and VCs of capital.  Economic growth did not start to fall off until around 2000.  So actually the data is consistent.  Weaker patent laws are associated with weaker economic growth.  Third, the patent system cannot function in a socialist system.  The US by CATO’s estimate takes 60% of the GDP today.  What does it mean to own your patent in a world where the EPA can take your land at any time, in which the eminent domain can be used to take your property for a project that promises higher tax revenue, a world in which the government publishes your invention for the whole world to see before they provide you any patent protection, a world in which the government does not accept any limits to tax you or regulate you?  The author is right that a patent system cannot cause economic growth in the USSR, which tried to implement a patent system.  A patent system is based on a system of property rights.  Since 2000 we have created a patent system that supports crony socialism (capitalism), not surprisingly our inventors and entrepreneurs are not creating economic growth.

The macroeconomic evidence is overwhelming for patent systems creating growth.  Those countries with the strongest patent systems are the most inventive and have the greatest technological dispersion and are the wealthiest in the world.  While those with the weakest patent systems do not contribute any inventions and have very poor technological dispersion and are some of the poorest countries in the world.

 

I for one am very disappointed that the CATO Institute would publish such a poorly researched and reasoned article.

 

 

 

[1] Wilson, Daniel, “Are We Running Out of New Ideas” A Look at Patents and R&D”, FRBSF Economic Letter, Number 2003-26, September 12, 2003.

 
Halling’s Talk at Atlas Summit 2014: Why John Galt is an Inventor

I spoke at Atlas Summit 2014 in June in New Hampshire.  Click here to see my talk.  I have a related blog post Why Rand Choose Inventor as Galt’s Profession.

 

The website Rebirth of Reason, which is supposed to be an Objectivist website, posted an article entitled Patent Scam.  Below is my open letter to the author of this article.

 

Dear Ms. Vera S. Doerr,

 

If someone displayed the ignorance in criticizing Objectivism that this article does about patent law, Objectivists would be furious.  First of all it is clear that you do not know how to read a patent.  You don’t know the difference between the claims and the background, you don’t know the difference between an independent claim and a dependent claim or a patent and a patent application.  In fact it is clear that you did not read the patent application, which can be found here http://www.freepatentsonline.com/20140215201.pdf.  If you had read the patent application and understood how patents are written, instead of the summary from the article, you would clearly have seen that the invention is not about a device which can turn into a “cell phone, a smartphone, a tablet PC, a laptop, a personal computer, a netbook, a personal digital assistant, an e-book reader, a TV and/or other computing devices…”  You would have seen that this was about a device with a foldable display that takes certain action when it is folded in different ways.  These actions are explained in the patent application as making or receiving a phone call, sending or receiving an electronic document, activating or deactivating a software program, and connecting to or disconnecting from a network.

Despite your ignorance of patent law, electronics technology, and the specifics of the invention, you pontificate that “the technology behind it (the invention) would be so diverse that no material, no hardware, no software, existing today even as a theoretical prototype, could be combined into such a device.” Perhaps you are unaware that one of the requirements of a patent is the enablement requirement under 35 USC 112.  It requires that the inventor explain his invention in enough detail that one skilled in the art be able to practice the invention.  But you don’t have to take my word for it, foldable displays are known, see displays.  Having a foldable display that when folded in a certain way receives a phone call, or sends a document, is well within the reach of today’s technology.  As a patent attorney, with a BS in electrical engineering, a MS in physics, and named inventor on nine patents, I can assure you that this patent application is enabled and could easily be built by one skilled in the art.  Now that I have shown that to you, you will probably turn around and say it should not be patented because it is obvious, further proving your ignorance of patent law, logic, and reason.

Next you state that everyone is doing this and you “simply cannot believe this patent scam! Worse: it’s actually legal!”  This is clearly an appeal to emotion not logic.  You continue this unsubstantiated attack on the patent system, suggesting it is a legal hold up game that people are using to get rich.  Your article is worthy of a muckraking SOCIALIST journalist or a follower of Kant, Hegel, or Kierkegaard, but not someone writing on the Rebirth of Reason  or someone who has studied Ayn Rand.

Rand stated that Patents and Copyrights are the source of all property rights, because they protect the source of all human creation, the products of man’s mind.  Patents are property rights for inventions and your attack on the patent system is really an attack on the very basis of property rights.

There is a SCAM going on here Ms. Doerr, but it is not patents.

 

Sincerely,

Dale B. Halling

 

This article, Intellectual Property, Innovation and Economic Growth: Mercatus Gets it Wrong, by Mark Schultz & Adam Mossoff is a follow up to their other article Intellectual property and economic prosperity: Friends or foes?  This article is more hard hitting and the ask the questions of who has the burden of proof on whether patents promote economic growth?  Anti-patent proponents consistently fail to provide any empirical data to support their positions, although they are great at coming up with anecdotal stories.  Despite this they assume that the burden of proof is on people who support property rights in inventions.

 

The reason anti-patent advocates don’t think they have the burden of proof is that they have been taught the economic concept call pure and perfect competition as the goal of capitalism.  Some of these people even think that perfect competition is the definition of capitalism.  Perfect competition is inconsistent with the condition necessary for real per capita economic growth, is inconsistent with all property rights, has nothing to do with capitalism, is anti-mind, anti-invention, anti-patent.

PERFECT COMPETITION IS THE ECONOMIC IDEALIZATION OF SLAVERY.

 

 

 
A Government Conspiracy to Undermine the Constitution

We have completed a first draft of the second Hank Rangar book, tentatively titled Trails of Injustice.  Hank is snared by a government conspiracy to undermine the constitution.  Can you guess which recent government conspiracy it is?

 
Remember When Inventors Were Heroes?

This weekend (8/1/14 – 8/3/14) Pendulum of Justice  is on sale for $0.99.  The hero of this fast paced techno-thriller is Hank Rangar an inventor.

 

All that is necessary for the triumph of evil is that good men do nothing.

With two high tech start-ups going gangbusters, former cyber warrior Hank Rangar has finally “made” it. His lab, “Made By Man,” has revolutionized cardiac procedures, potentially saving millions of lives and billions of dollars. But, the most important person in his life is very sick and his technology is suddenly stolen. Hank discovers two things: This lifesaving procedure may be the only way to save his sister AND Big Washington will stop at nothing to bury it.
 

Here is what people are saying about Pendulum of Justice:

 

“Pendulum of Justice reads like a book on anti-gravity: impossible to put down! My main complaint is how come the next book in the series isn’t out already.”

Peter Cresswell
Publisher of NotPC

 

“Convert this to a movie script and sell it to Hollywood. Excellent theme and plot.”

The Magnolia Blossom

 

WOW! I feel like I just watched a movie in my head.

Hines and Bigham’s Literary Tryst

 

Absolutely brilliant – that was my first thought after I finished reading this compelling novel.

Lit Amri for Readers’ Favorite

 
Fallout from Alice: Digitech Image v. Electronics for Imaging

We are beginning to see the absurd results from Alice in the case Digitech Image Technologies, LLC v. Electronics For Imaging, Inc., Case No. 13-1600 (Fed. Cir. July 14, 2014), the Federal Circuit affirmed a district court decision invalidating all claims of Digitech’s patent (U.S. Patent No. 6,128,415).  The invention tags digital images with particular information about the camera and its color/spatial image qualities in a form that is device-independent. The patent includes claims directed to both a “device profile” and a “method of generating a device profile.”  The Court found the claims invalid under 35 USC 101.  Independent Claim 1 states:

 

1. A device profile for describing properties of a device in a digital image reproduction system to capture, transform or render an image, said device profile comprising:

first data for describing a device dependent transformation of color information content of the image to a device independent color space; and

second data for describing a device dependent transformation of spatial information content of the image in said device independent color space.

According to Patently O:

At the Federal Circuit, the patentee argued that one of skill in the art would understand that the claims required hardware or software within a digital image processing system. However, in an implicit claim construction, the appellate panel rejected that argument – finding that the claims are not so limited. “The claims encompass all embodiments of the information contained in the device profile, regardless of the process through which this information is obtained or the physical medium in which it is stored.” The underlying problem with this analysis is the reality that data is always stored in a physical form lest it disappear.

The court disagreed and found the patent was directed to an Abstract Idea, a term that the Supreme Court has refused to define.  Logically all inventions are directed to an abstract idea, in that they abstract the invention from the particular or specifics.  The only logical definition of Abstract Idea is a thought or conception that is separate from concrete existence or not applied to the practical.  Here the invention is clearly drawn to the practical and is being widely used.

You can argue that patentee wrote the claims incorrectly, but the Supremes would then counter than cleaver draftmanship will not save you from 101.  Of course the Supremes then look to the claims to determine 101 eligibility.  This is circular reasoning on the part of the Supremes.

Claims are supposed to define the invention, they are not the invention.  A definition should not have extraneous information that does not add meaning.  Here the physical structure would not have added anything to the definition.  This is why I have been arguing that 101 should really be about the specification.  Here the patentee clearly describes an invention.  Patent law is devolving back to the 1940s and now we are all talking about how many angels can dance on a pinhead.

 
A Defense of American Ideals: Book Review

This excellent book, by Thomas Malone, demonstrates that Liberty and the American Revolution are both based in reason.  Both the left (Liberals, Democrats, Socialists, Environmentalists) and the right (neocons, compassionate conservatives, social conservatives) are anti-reason and both are fundamentally opposed to people’s right to the pursuit of their own happiness (Not to mention your Right to Life and Liberty).  The book is full of quotes from the Founding Fathers and shows the US as a Christian nation, in its founding, is revisionist history.  The book pulls no punches about the Socialists (Democrats) either, amply demonstrating that the philosophy of Obama and friends is one in the same that brought about Moa, Stalin, Mussolini, etc. that resulted in the deaths of over a 100 million people in the last century.  What’s amazing is that they claim the moral high ground despite their record of mass murder.  The book is not just a laundry list of problems, the author provides real solutions and hope for the future.

One of my favorite quotes from the book is: “Like a hydra-headed monster, socialism and collectivism come in various guises, which we can refer to under the broad category of Statism.  Apparently it doesn’t matter how many times we chop off a head, new ones keep growing.”

The chapter “Why Liberty Requires Reason” is outstanding.  The Left often wants to claim they are the torch bearers of reason and science, but in reality Socialism is part of the anti-enlightenment reactionary movement in philosophy, which is anti-reason and anti-science.  Social conservatives like to push the idea that Socialism is pro-reason and pro-science also, so they can then argue freedom is based on faith.  Liberty was and is founded on reason applied to the nature of man’s existence as demonstrated by the numerous quotes by the Founding Fathers, Locke, Rand, and others.

BUY Thomas Malone’s, A Defense of American Ideals, it is an infinitely better defense of liberty than the books by Mark Levin, Judge Napolitano, etc.

 
$120 Per Smartphone in Royalties – Outrageous!

An academic paper claims that the cost for royalties ($120 per phone) is about the same as the cost of the components in a smartphone.  This was accompanied by a number of articles suggesting this was outrageous and unsustainable.  For example see:

* High smartphone patent royalties undermine industry profitability: report 

* The $120 Smartphone Patent Tax: Patent Royalties Cost More Than The Actual Hardware In Your Phone:   This one from my favorite patent Luddite site, Techdirt.

* Smartphone royalties now equal manufacturing costs

The logical flaw underlying all these articles is that the value of products is determined by the amount of physical labor and/or the cost of the underlying materials.  On this basis, the actual material costs of a cell phone are probably less than $5 and the labor (unskilled labor in the US is worth perhaps $10/hr) involved in making the phone might be worth $5, let’s throw in $10 for distribution and the hard costs of a smartphone are about $20.[i]  The rest of the costs are the result of intellectual property, much of which is in the form of patents, but some is in the skilled labor, copyrights and trademarks.  The actual cost of the intellectual property in a smartphone is closer to $380.00.  Much of these costs are hidden.  For instance, when Intel sells a microprocessor they charge you $50, for example, but the labor cost and material cost of the microprocessor is pennies.  The reason they can charge $50 is because of the intellectual property, which means patents.  From an economic point of view you are paying a dollar or so for the manufacturing and $49 in patent royalties.

Another logical flaw in these articles is that this is an unsustainable business model.  First of all the underlying paper points out that sales of smartphones and tablets is now bigger than all the rest of the consumer electronics space, with over a billion smartphones sold in 2013.  Clearly the business model is not falling apart.  Second of all, the cost of Microsoft Office Home and Business 2013 is $219.00 and none of that is manufacturing cost.  The cost of Microsoft Office is essentially all IP (Patents, Copyrights, etc.).  Solidworks, which is 3D CAD software, cost $4000.00 and also has essentially no manufacturing costs, which means you are paying the equivalent of $4000 in royalties.  The argument that the model is unsustainable is absurd.

 

Actual Paper

The paper that started this economic stupidity is The Smartphone Royalty Stack: Surveying Royalty Demands for the Components Within Modern Smartphones.  The paper is clearly designed to sway public and Judicial opinion in a manner that will be beneficial for Intel.  Namely, Intel wants a patent system that emphasizes manufacturing, not inventing.  Another goal of the paper is to get courts to reduce the amount of royalties that inventors receive.

“In particular, there has been significant recent focus on “royalty stacking,” in which the cumulative demands of patent holders across the relevant technology or the device threaten to make it economically unviable to offer the product.”

This statement is absurd on its face, as the paper itself points out.

“The market for smartphones has exploded. Smartphones sales for 2013 topped one billion units globally for the first time ever.  In addition, global revenues for smartphone and tablet sales in 2013 are estimated to have surpassed for the first time revenues for the entire consumer electronics markets (e.g., televisions, audio equipment, cameras, and home appliances).”

Here is the real point that this paper is pushing:

“Further, the available data demonstrate a need for licensees to advocate and courts to rigorously apply methodologies for calculating royalties that focus on the actual value of a claimed invention put in context of the myriad other technologies in a smartphone and the components in which the technologies are implemented.”

I will admit that having courts set royalty rates is not ideal and the results can be squirrelly, which is why eBay  should be reversed.  The courts used to just prohibit the infringer from using the patented technology and then the parties had to work out a deal.  But the Supreme Court decided that enforcing the only right you get with your patent is an injunction – actually it is not an injunction it is an exclusion order requiring the infringer to not trespass on (use) the patent owner’s property.

The paper admits that its methodology is limited and the actual cash cost going to pay royalties could be higher or lower.  For instance, the paper does not track cross licensing, pass through, or patent exhaustion, all of which could significantly reduce the actual royalties paid.  They clearly made an error if they did not account for patent exhaustion.  If patent exhaustion was part of the royalty costs, then almost every high value component’s price is mainly due to patents.  Correctly accounting for patent exhaustion would show a royalty per smartphone closer to the $380.00 per phone as explained above.

The paper is just dishonest when discussing the growth in the number of patents issued and the number of patent lawsuits.  It shows in 20 years the number of patents issued in the US has increased from 100,000 per year to 250,000 per year.  The implication is that this is an absurd increase in the number of issued patents, but if you do the math this turns out to be a 4.75% annual increase, about the same as the increase in worldwide GDP over the same time period.  The paper also shows a graph depicting the number of patent lawsuits exploding around 2011.  This increase is due to the America Invents Act, which limited the joinder of defendants in patent lawsuits.  This has been well documented, as in the article  The America Invents Act at Work – The Major Cause for the Recent Rise in Patent Litigation.  The paper’s failure to point this out is just outright fraud.  The fraud is perpetrated again when the paper points to the increase in the number of NPE lawsuits.  These authors seem to have gotten their training from Al Gore and French economist Thomas Piketty.

 

 


[i] In fact you can buy cell phones for less $30.00 on the Internet.  The cost of materials in a smartphone and a $30 cell phone is essentially the same.  The material costs in a cell phone include the plastic which costs several cents, the metal for the conductors which might be worth a dollar, the silicon which in its raw form is worth almost nothing.

 

At least for this year it appears the Patent Deform bill has died in the Senate.  This bill was designed to make it easier for large companies to steal the technology of independent inventors and start-ups.  This same group pushed through the America Invents not Act (AIA) in 2014 which gutted our patent system and passed out goodies to Wall Street and others.  They hailed the AIA – Patent Reform, but now they are back trying to further gut the patent system.

 
Why did Rand Choose Inventor as Galt’s Profession?

Dale B. Halling, author of Pendulum of Justice (with his wife Kaila) and The Decline and Fall of the American Entrepreneur, will be speaking at the Atlas Summit 2014.  The topic of his talk will be “Why did Rand Choose Inventor as Galt’s Profession?”  The paper below roughly tracks the talk.

 

 

Rand stated that the goal of her writing was to portray an ideal man and Galt was her artistic embodiment of the ideal man.  In the famous Galt speech, he says “I was an inventor.  I was one of a profession that came last in human history and will be first to vanish on the way back to the sub-human?”  What is so important about inventors that Rand would make that the profession of her ideal man and indicate that the profession of inventing was the canary in the coal mine of human progress?

In order to answer these questions, we first have to define what an inventor is: it is a person who makes their living from creating and selling inventions, as opposed to manufacturing, marketing, distribution, etc.  We all think we know what an invention is, but actually courts have struggled with this question.  In the last couple of years the Supreme Court has heard a couple of cases on this exact question and has provided no clear answer.  Dictionary definitions tend to be circular or so vague as to not be helpful.  I am going to propose that an invention is a human creation that has an objective result, i.e, the effect of which is demonstrable repetitively, and measurable objectively, and  independent of the observer.  While art is a human creation that has a subjective result, i.e., whose effect is the reaction of the observer, which not only varies from observer to observer, but may also vary over time in the same observer.  Art and inventions together are the complete set of human creations.  For instance, the invention of an incandescent light bulb has the objective result of putting out light when the appropriate electrical signal is applied.  Note that inventions are always about a class of objects, not an individual object (instance).  Art does not have an objective result.  How I react upon seeing Atlas Shrugged III will be different than how you react.  This can become confusing, because movies are an invention.  A specific instance of a movie is a human creation with a subjective result, while the class of objects called movies is an invention, actually a modern movie is a combinations of many inventions.

Manufacturing is the process of recreating an object.  If I produce a hundred bikes, I have recreated the invention of a bicycle a hundred times.  Standard engineering involves repurposing an invention.  For instance, if I am making bikes for adults and I decide to make them for children; I know children are smaller so I will design a smaller frame, I might design the frame out of thinner steel because kids are lighter, I might change the gearing because kids are not as strong, but in the end it is still a bicycle and not a new invention.  Neither manufacturing nor standard engineering meet the definition of an invention.

Rand has a scene in Atlas Shrugged between Jim Taggart and his wife that gets to the essence of what an invention is and many of the debates about inventions.

’He didn’t invent smelting and chemistry and air compression.  He couldn’t have invented HIS metal but for thousands and thousands of other people. HIS Metal! Why does he think it’s his? Why does he think it’s his invention?  Everybody uses the work of everybody else.  Nobody ever invents anything.’ (Jim Taggart)

She (Cheryl) said, puzzled, ‘But the iron ore and all those other things were there all the time.  Why didn’t anybody else make that Metal, but Mr. Rearden did?”

This scene clearly illustrates that Rand understood that an invention is a combination of existing or known things and it is the combination that is unique.  We know this is true because you cannot create something out of nothing and this is James Taggart’s reason for saying Rearden did not invent anything.  Cheryl’s responses is also classic in pointing out that all the things necessary to create the invention were available to others, but only Rearden created the metal.

Rand stated, “I seem to be both a theoretical philosopher and a fiction writer.  But it is the last that interests me most; the first is only a means to the last.” [1]  She described Galt as, “He too, is a combination of an abstract philosopher and practical inventor.”[2]  She illustrates this point in the scene where Dagny goes to talk to Dr. Stadler about the motor.  Stadler states, “Why did he want to waste his mind on practical appliances?”  Dagny replies, “Perhaps because he likes living on this earth.”  For Galt philosophy and theoretical physics are a means to inventing, with inventing being the primary goal.  According to the definitions of art and invention above, all of human creation is divided between the two.  This makes Galt the mirror image of Rand and together they make a complete set, which is why I think Rand choose inventor as Galt’s profession.

Why are inventors important?  Rand stated “Nothing can raise a country’s productivity except technology”[3] and inventors are the ones who create technology.  In classical economics we are taught that the inputs to the economy are land, labor, and capital.  Robert Solow received the Nobel Prize in economics for an econometric study of whether labor, capital, or technological change had the biggest impact on economic growth.  He found that almost all economic growth is due to new technologies, i.e., inventions.  Follow up research has found that all real per-capita economic growth is due to inventions.  Imagine if we had the same technology as the people living in 1600.  Would we be any wealthier than the people at the time?

The cotton gin is an interesting example of the power of inventions.  In 1791, the entire output of cotton in the U.S. was 4,000 bales.  The cotton gin was invented in 1793 by Eli Whitney.  By 1801, the output of cotton in the U.S. was 100,000 bales, over a 25 fold increase.  This increase was only possible because of the cotton gin.[4]  Note that this is consistent with Rand, who stated “Man’s mind is his basic means of survival.”  The way man uses his mind to meet his needs is by creating things, i.e., inventions, and this has been confirmed by econometric research.

Despite the importance of inventing, there have been very few professional inventors throughout history.  One time period that we do remember for its professional inventors is the beginning of the Industrial Revolution through the late 1800s with Edison, Tesla, Westinghouse, and others.  Why did this time period have so many professional inventors?  An inventor is someone who makes his living by selling his inventions.  In order to be able to sell an invention, you need to have property rights in your invention.  Property rights for inventions are a relatively recent legal concept.  The first known patent statute (property rights for an invention) was enacted, in 1474, by Venice.  Note that Venice was one of the richest places in the world at the time and home to many great inventors including Leonardo da Vinci and Galileo.  England slowly developed an archaic patent system starting with the Statute of Monopolies of 1623.  Even this archaic patent system was enough to spur inventors to create the Industrial Revolution.  The United States and the Colonies had patent systems roughly modeled on England’s.  The (original) US Constitution only mentions one RIGHT and that is the rights of inventors and authors, i.e., patents and copyrights.  It was not until the Patent Statute of 1836 that the US created the first truly modern patent system.  A modern patent system is characterized by an examination system administered by an independent, technically competent examination core that is readily accessible to all inventors (as opposed to only wealthy or politically connected inventors, see England in 1800s), has a system for widely publishing patents, and provides a freely alienable property right.  This is why we do not see the profession of inventing until relatively recently.  Before a modern patent system an inventor had nothing to sell, which is why the Middle Ages are characterized by trade secrets passed along by guilds.

I do not find it surprising that property rights for inventors were one of the last to be created.  A nomadic society has no need for property rights in land and history shows that the concept of property rights in land is unfathomable to them.  For instances, here is a quote by an American Indian that illustrates my point.

“What is this you call property? It cannot be the earth, for the land is our mother, nourishing all her children, beasts, birds, fish and all men. The woods, the streams, everything on it belongs to everybody and is for the use of all. How can one man say it belongs only to him?” -Massasoit

Nomadic people gather, they do not cultivate.  As a result, a nomadic people cannot possible understand why they cannot pick an apple from your orchard.  Only with the agricultural revolution (and mining) did the concept of property in land make any sense.  It would be impossible to have an agricultural revolution in which people who planted and cultivated the crops were not given the rights to the harvest and the land which they turned into a productive asset.  Similarly the concept of property rights in inventions is difficult for people who see all wealth as coming from agriculture.  For an agricultural people wealth is the result of physical labor, not thought.  Sure labor saving devices are great, but they are meaningless until some puts the labor into using them, much like raw land in their minds.  Putting this in more modern language, you can own an instance of say a plow, but cannot possibly have an ownership right in an instance of a plow you have never seen and did not build.   Note the similarity to Marx’s labor theory of value.

This chart shows the income per capita from 1000 BC to approximately 2000 AD and is most representative of the US, England and the West.  It also illustrates the importance of property rights for inventions.  Until the Industrial Revolution around 1800, people were stuck in the Malthusian Trap, which means they lived on the edge of starvation.  With the advent of relatively effective property rights in inventions, per capita income started to grow exponentially.  Note this occurred with an exponentially growing population.  This is not surprising.  Economic growth is due to inventions and the advent of property rights in inventions spurred people to invent more.  The same pattern with real property has been well documented, for instance see the Peruvian economist Hernando de Soto.

Rand stated “Patents and copyrights are the legal implementation of the base of all property rights: a man’s right to the product of his mind.”[5]  “What the patent and copyright laws acknowledge is the paramount role of mental effort in the production of material values: these laws protect the mind’s contribution in its purest form: the origination of an idea.”[6]  The source of all property rights is creation.  It is the legal system’s recognition of the metaphysical fact that but for the creator, the creation would not exist.  Not surprisingly those that hate achievement and those who want to live off the efforts of others deny that creation exists or that it is result of individual effort.  As Barak Obama put it, “you didn’t build that.”  Similarly, one of the popular academic papers on patents today is entitled “The Myth of the Sole Inventor.”[7]

Rand wrote in 1967, “Today, patents are the special target of the collectivists’ attacks …”[8]  She was right then and she is right today.  In the 1970s the FTC (Federal Trade Commission) published their nine no-nos on patents.  These severely limited the patent rights of inventors in the 1970s.  Xerox was an example of this attack on patent rights and success.  In the early 1970s Xerox was sued by the FTC for monopolistic practices.  The inventor of xerography, Chester Carlson, was a patent attorney who started work on his invention in the late 1930s.  He pitched his idea to IBM, Kodak, and many others and was turned down until the forerunner of Xerox.  They spent years perfecting his idea and in the 1950s the Xerox started developing and deploying a commercial version of the copy machine.  By the 1960s Xerox was one of the most successful corporations of all time.  Xerox initially thought the FTC allegations baseless, but several years later with mounting private antitrust lawsuits Xerox decided to settle with the FTC.  In 1975 when Xerox agreed to the FTC consent decree, which required them to license their patents for next to nothing to all comers, they had almost a 100% market share in plain paper copiers.  Just four years later, their market share was down to 14% and most of the rest of the market was controlled by Japanese companies.[9]  While this was the most dramatic example of the FTC’s and Department of Justice’s (DOJ) abuse of U.S. companies’ property rights in technology, it was hardly an isolated incident.  The FTC/DOJ brought more than 100 of these cases and gave away the technology associated with over 50,000 patents.  The result was that the U.S. transferred its cutting edge technology to Japan and many U.S. companies found themselves unable to compete with the Japanese, because the Japanese did not have to spend the money on R&D or the large initial cost of marketing for a new product.  A MITI study substantiates that most Japanese companies took advantage of this traitorous policy by the U.S. government to catch up with U.S. companies technologically.[10]  Once again Rand proved herself prescient.

American companies’ response was to forego obtaining patents in the 1970s and this did not change until the 1980s.  In the late 1990s there was a renewed attack on inventors.  Instead of using antitrust law and going after large corporations, the new attack has been a crony capitalist scheme to create a playing field that only benefits large, politically connected companies.  Among the many changes to US patent laws since 2000 are the requirement that all patent applications be published, the change from a first to invent to a first to file patent system, the Supreme Court not allowing patent holders to enforce their rights through an injunction, and the introduction of three different systems to attack the validity of a patent administratively.  This is a more focused attack on the profession of inventing than the assault of the 1970s.  In the late 1800s 85% of all patents were licensed by their inventors in the US.  Late 19th century U.S. inventors increasingly operated as independent inventors who extracted returns from their discoveries by licensing or selling their patent rights.[11]  Among these inventors were Edison, Bell, Tesla, etc.  “An astonishing two thirds of all America’s great inventors in the nineteenth century were actually NPEs” (Non-Practicing Entities).  Today’s system makes the cost and uncertainty of inventing far too risky for all but the most wealthy inventors.  Most large companies practice a policy of purposeful ignorance of other people’s patent rights and rely on the fact that litigation is too expensive for independent inventors and small companies to prevail in court.  If you asked the success rate for independent inventors (People who just create and sell their inventions) to people in the industry, you would hear somewhere around 2%.

But as Rand pointed out the attack on patents is not limited to socialists.  There has been a concerted attack on patents by Libertarians and Austrian Economists.  One of the best known proponents of this point of view is Stephen Kinsella.  They argue that property rights are not about creation, not about owning yourself and the product of your labor, but about scarcity.  According to them, patents and copyrights create artificial scarcity.  Their argument fails even if you believe that property rights are based on scarcity, because it takes real resources to create inventions and real resources to distribute these new technologies.

The press has also joined in this all out attack on patents, labeling anyone who does not manufacture their invention a “patent troll.”  This attack includes so-called free market media outlets including Forbes and the Wall Street Journal.  These attacks ignore Adam Smith’s idea of the division of labor, ignore that many of our most revered inventors in history meet their definition of a patent troll, and ignore that many large manufacturing companies enforce or license inventions that they do not manufacture.  But the goal of these articles is not logic, but to create a narrative to eliminate the profession of inventing.

The legal attack on the profession of inventing is not limited to destroying the property rights of inventors, but also includes limiting inventors’ access to capital through laws like Sarbanes Oxley.  However, the people who hate human progress and hate humans are not content to just stop inventors, the engine of human progress, they want to roll back the technology of the last two hundred years.  For instance, they want to outlaw DDT, they want to outlaw fossil fuels, and they want to outlaw private vehicles.  Environmentalists have the stated goal of forcing humans back to the state of “sub-humans”, meaning people without technology.

This is why Galt said his profession, inventor, would be one of the first to disappear on the way back to the sub-human.  The first step in this process is to stop new technologies from developing and the second step is to roll back the technology that has already been developed.

All human creations can be divided into art and inventions, with one having a subjective result and the other having an objective result.  Rand was an artist and philosopher, while Galt was her mirror image of an inventor and philosopher.  Inventions are the result of man’s mind trying to fulfill his needs.  Property rights for inventions are a fairly recent development and correspond generally with the escape of mass numbers of people from the Malthusian Trap.  This has made patents a key target of those who hate human progress.  This presents and opportunity for the Atlas Society and Objectivist to differentiate themselves from other so-called free market organizations and to stand up for the Galt’s of the world.

 

 

Suggested Actions and Further Research

This talk is a small part of the work I have been researching in what economists call ‘New Growth Theory.’  This area of economics recognizes the central nature of man’s mind in producing wealth.  As a result, it presents the possibility of being able to define a school of economics that is consistent with Objectivism.

 


[1] Rand, Ayn, Atlas Shrugged, Introduction to the 35th Anniversary Edition.

[2] Rand, Ayn, Atlas Shrugged, Introduction to the 35th Anniversary Edition.

 

[3] “The Moratorium on Brains,” The Ayn Rand Letter, I, 3, 5

[4] Evans, Harold, They Made America, Little, Brown and Company, 2004, pp. 49-50.

[5] Rand, Ayn, Capitalism: The Unknown Ideal, Signet, New York, 1967, p. 130.

[6] Rand, Ayn, Capitalism: The Unknown Ideal, Signet, New York, 1967, p. 130.

[7] Lemly, Mark A., “The Myth of the Sole Inventor”, March 2012, Michigan Law Review, http://www.michiganlawreview.org/assets/pdfs/110/5/Lemley.pdf.

[8] Rand, Ayn, Capitalism: The Unknown Ideal, Signet, New York, 1967, p. 133

[9] Mark Blaxill, Ralph Eckardt, The Invisible Edge: Taking Your Strategy to the Next Level Using Intellectual Property.

[10] Mark Blaxill, Ralph Eckardt, The Invisible Edge: Taking Your Strategy to the Next Level Using Intellectual Property.

[11] Henry R. Nothhaft (Author), David Kline (Contributor), Great Again: Revitalizing America’s Entrepreneurial Leadership

 

 
Environmentalists are Evil

Earth Day was created in the Nixon administration and the first was in 1970.  This day violates the 1st Amendment by the Federal Government “respecting an establishment of religion.”  Environmentalists are often portrayed by the Media as lovable, good natured people; people who only want to save some adorable furry creature and pick up trash.  Environmentalist groups target new technologies claiming that they are dangerous or unproven.  For instance, they killed off the nuclear power industry.  The policies they advocate are anti-innovation and have destroyed advances in medicine, food production, power generation, vaccines, and more.  These policies have resulted in the deaths of more people than Hitler, Stalin, and Moa combined.  These deaths are not the result of good intentioned policies gone wrong; these are the purposeful goals of environmental groups.  Environmentalists have consistently proven that they are willing to lie in order to achieve their objectives.  Being “Green” is worse than being a Nazi, worse than being a Marxist;  BUT  these policies do work hand in hand with these statists philosophies.

I will briefly outline three environmentalist policy areas where environmentalists have lied about science  and even more important than lying, these policies have killed millions of people.

DDT

Silent Spring by Rachel Carson resulted in the banning of DDT.

Deaths Caused by DDT Ban

In 1970, the U.S. National Academy of Sciences estimated that DDT saved more than 500 million lives during the time it was widely used.  http://www.wnd.com/2004/07/25428/  Banning DDT has resulted in about 100 million deaths, many of whom were pregnant women and children.  By comparison: Hitler killed about 6-7 million, Stalin killed around 10-14million, and Mao killed between 60-68 million.

FYI: The ban on DDT is why the US is currently having infestations of bed bugs; most people born after 1940 thought these were eradicated like polio.

Lies about DDT

Carson claimed DDT thinned the eggshells of birds resulting in fewer offspring that endangered raptors existence.  This was based on 1956 study by Dr. James DeWitt, published in the Journal of Agriculture and Food Chemistry.  However, DeWitt’s study actually showed that 50 percent more eggs hatched alive from the birds subjected to DDT than the non-DDT group.  Other claims suggested that raptor populations declined because of the use of DDT; however, raptor populations were failing before the introduction of DDT.   In fact, the Audubon’s Eagle counts from 1941 to 1961 actually increased when DDT was mostly widely used.  All the latest evidence shows, Carson’s claims were nothing but outrageous lies.

Goal of Banning DDT was to Kill People

Alexander King, founder of the Malthusian Club of Rome, wrote in a biographical essay in 1990:

“My own doubts came when DDT was introduced. In Guyana, within two years, it had almost eliminated malaria. So my chief quarrel with DDT, in hindsight, is that it has greatly added to the population problem.”  http://jiminmontana.wordpress.com/2012/01/15/environmentalism-the-green-religion-of-dehumanization/

Dr. Charles Wurster, one of the major opponents of DDT, is reported to have said,

“People are the cause of all the problems. We have too many of them. We need to get rid of some of them, and this (referring to malaria deaths) is as good a way as any.”  http://jiminmontana.wordpress.com/2012/01/15/environmentalism-the-green-religion-of-dehumanization/

 

 

Nuclear Power

Anti-Nuclear power activists claimed that nuclear power generation would result in the deaths of thousands of people.  This movement was able to kill off the nuclear power industry in the United States after the Three Mile Island accident in which no one was killed and the average person within ten miles of the accident received the equivalent on one chest x-ray of radiation.

Deaths Caused by Nuclear Power Ban

The main alternative to nuclear power plants,to date ,have been coal fired plants.  For each person killed by nuclear power generation (including deaths due to Chernoybal), 4,000 die from coal. The previous data is adjusted for how much power is produced by each method of power generation.  http://www.the9billion.com/2011/03/24/death-rate-from-nuclear-power-vs-coal/  The number of people killed per year in the US because of this change is at least 10,000.  These deaths are mainly due to particulate pollution (nuclear power has no particulate pollution). This figure also includes an increase in the number of mining deaths, and increases in the number of deaths due to the extra transportation required to move coal compared to transporting uranium.  In the United States alone: this environmental pogram has resulted in at least 300,000 deaths.  Why has this not made headlines??! While the rest of the world has not followed the U.S.’s lead completely, the anti-nuclear movement has definitely retarded the development of nuclear power plants around the world.  As a result, a reasonable estimate of the deaths worldwide because of this environmental policy is at least 600,000.

Nuclear power plants represent a huge reduction in air and water pollution.  Real reductions in pollution are the result of advancing technologies, not regulator schemes such as the EPA.  In fact, regulatory agencies can be credited with increasing pollution levels compared to what it would be without their influence.

The largest one time event fatality toll from energy production was in 1975.  30 dams in central China failed in short succession due to severe flooding.  An estimated 230,000 people died. The fatalities from hydropower far exceeds the number of deaths from all other energy sources.  http://www.newscientist.com/article/mg20928053.600-fossil-fuels-are-far-deadlier-than-nuclear-power.html  Of course, hydroelectric power is one of the environmentalists’ favorite sources of power.

Lies about Nuclear Power

The number one lie about nuclear power is that an accident could result in the death of thousands of people.  There is absolutely no evidence for this claim.  Another related boogey man of the environmentalists is that the half lives of the byproducts from nuclear power lasts tens of thousands of years.  What if the half life were infinite?  Wouldn’t that be worse?  If the half life were infinite, the elements (compounds) would be stable.  Longer half lives mean that there is less radiation.  Nuclear power plants accelerate the natural radioactive decay of uranium, so leftover fuel rods are less radioactive than the mined material.

Another lie of environmentalist s that nuclear power plants are too expensive to make economic sense.

Nuclear power is not intrinsically expensive. What drove nuclear plant costs up were environmentalist delays (caused by anti-nuclear “interveners” and the high interest financing rates—both perpetrated by those who wanted to kill nuclear power, and who now complain that nuclear costs too much.

Source: Electric Power Research Institute

Goal of Banning Nuclear power was to Kill People?

There does not appear to be any environmental wacko comments to this effect;  certainly  it has been the result and since the environmentalism movement believes there are too many people-well, it seems this was likely part of their goal in killing off nuclear power.

 

Global Warming

Man made global warming or Anthropogenic Global Warming (AGW) is the latest hoax being thrust upon us by Environmentalists, who I have already shown, have a very poor track record.

Deaths Caused by Global Warming Hoax

The United States is spending about $10 billion a year on Global Warming research.  http://frontpagemag.com/2011/01/28/the-black-hole-of-global-warming-spending/  I think it is safe to say that at least $100 billion has been spent worldwide on Global Warming over the last decade.  It costs about $20 to provide infrastructure for clean water for one person.  According to WHO, 30,000 deaths occur every week from unsafe water and unhygienic living conditions.  Most of these deaths are children under five years old.  That is over 600,000 deaths per year because of poor water infrastructure.  If the $10 billion being wasted on Global Warming research were instead applied to water infrastructure, this could save 50 million lives.  The Global Warming Hoax has cost the lives of at 6 million people.?

How AGW Advocates Have Lied

“The latest data released by the Met Office, based on readings from 30,000 measuring stations, confirms there has been no global warming for 15 years.” http://www.dailymail.co.uk/news/article-2096277/Global-warming-James-Delingpole-claims-green-zealots-destroying-planet.html#ixzz1xP61Eo2b

It is well known that the main driver of the temperature on Earth are the variations in the amount of solar energy the Earth receives.  “Experiments at the CERN laboratory in Geneva have supported the theory of Danish physicist Henrik Svensmark that the sun — not man-made CO2 — is the biggest driver of climate change.” http://www.dailymail.co.uk/news/article-2096277/Global-warming-James-Delingpole-claims-green-zealots-destroying-planet.html#ixzz1xP61Eo2b

The biggest greenhouse gas is water vapor – over 95%, but you never hear about this from AGW advocates.  http://www.creators.com/opinion/walter-williams/environmentalists-wild-predictions.html

“Natural wetlands produce more greenhouse gas contributions annually than all human sources combined.” http://www.creators.com/opinion/walter-williams/environmentalists-wild-predictions.html

Below, IPCC (Intergovernmental Panel on Climate Change -UN) Experts comment on the IPCC, which is the group at the UN that has been saying a consensus of scientist s “believe” in Global Warming http://ukipscotland.wordpress.com/2011/10/04/fifty-ipcc-experts-expose-global-warming-lies/

Dr Vincent Gray: “The (IPCC) climate change statement is an orchestrated litany of lies.”

Dr. Lucka Bogataj: “Rising levels of airborne carbon dioxide don’t cause global temperatures to rise…. temperature changed first and some 700 years later a change in aerial content of carbon dioxide followed.”

Dr Richard Courtney: “The empirical evidence strongly indicates that the anthropogenic global warming hypothesis is wrong.”

Dr Eigil Friis-Christensen: “The IPCC refused to consider the sun’s effect on the Earth’s climate as a topic worthy of investigation. The IPCC conceived its task only as investigating potential human causes of climate change.”

Goal of AGW

The goal of AGW is to kill capitalism and as a result kill millions of people.  Patrick Moore, a co-founder of Greenpeace explained.

(Environmentalism today is) more about globalism and anti-capitalism than it is about science or ecology….

 

The Environmental Movement is Anti-Human – Pure Evil

 

“Ultimately, no problem may be more threatening to the Earth’s environment than the proliferation of the human species.”
— Anastasia Toufexis, “Overpopulation: Too Many Mouths,” article in Time’s special “Planet of the Year” edition, January 2, 1989. http://newsbusters.org/blogs/geoffrey-dickens/2012/04/19/earth-day-special-medias-top-25-wackiest-environmental-quotes#ixzz1xPBuQJxp

 

 

“Today, life on Earth is disappearing faster than the days when dinosaurs breathed their last, but for a very different reason….Us homo sapiens are turning out to be as destructive a force as any asteroid. Earth’s intricate web of ecosystems thrived for millions of years as natural paradises, until we came along, paved paradise, and put up a parking lot. Our assault on nature is killing off the very things we depend on for our own lives….The stark reality is that there are simply too many of us, and we consume way too much, especially here at home….It will take a massive global effort to make things right, but the solutions are not a secret: control population, recycle, reduce consumption, develop green technologies.”
— NBC’s Matt Lauer hosting Countdown to Doomsday, a two-hour June 14, 2006 Sci-Fi Channel special. http://newsbusters.org/blogs/geoffrey-dickens/2012/04/19/earth-day-special-medias-top-25-wackiest-environmental-quotes#ixzz1xPCThQaU
“My own doubts came when DDT was introduced. In Guyana, within two years, it had almost eliminated malaria. So my chief quarrel with DDT, in hindsight, is that it has greatly added to the population problem.”  http://jiminmontana.wordpress.com/2012/01/15/environmentalism-the-green-religion-of-dehumanization/

 

Dr. Charles Wurster, one of the major opponents of DDT, is reported to have said,

 

“People are the cause of all the problems. We have too many of them. We need to get rid of some of them, and this (referring to malaria deaths) is as good a way as any.”  http://jiminmontana.wordpress.com/2012/01/15/environmentalism-the-green-religion-of-dehumanization/

 

“A total population of 250-300 million people, a 95% decline from present levels, would be ideal,” Turner stated in 1996.[1]

 

A leading environmentalist, Dr. Eric R. Pianka advocated the elimination of 90 percent of Earth’s population by airborne Ebola in front of few hundred members of the Texas Academy of Science who rose to their feet, and gave him a standing ovation.[2]  Dr. Pianka attempted to deny this, but the evidence was overwhelming including his student evaluations.

 

 

Environmentalism is a Religion – and that religion is anti-human


[1] Ted Turner Repeats Call For Population Curb, by Paul Joseph Watson Prison Planet Monday, April 28, 2008 http://www.prisonplanet.com/articles/april2008/042808_ted_turner.htm

[2] Meeting Doctor Doom, By Forrest M. Mims, III, The Eco-Logic Powerhouse http://www.freedom.org/board/articles/mims-506.html.

 

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