"This policy document examines the application of social knowledge economy principles to the secondary sector of the economy, with an emphasis on manufacturing. The Introduction dissects the concept of the knowledge economy, highlighting the role of access to knowledge as the fundamental criterion for determining its character: In contrast to capitalist knowledge economies that block access to knowledge through the use of patents and restrictive IP rights, social knowledge economies use inclusive IP rights to provide free access to knowledge. In the next section, A critique of cognitive capitalism, we look at how the use of restrictive IP rights has been theoretically justified: In short, IP rights are supposed to promote innovation and productivity. However, the available empirical evidence on the effect of IP rights on innovation and productivity furnishes no such proof. On the contrary, looking at the way in which capitalist firms actually use IP rights reinforces the conclusion that they do not promote innovation, but are in fact hindering it.