Overall I agree, but I would say that is also an example of a negative incentive. A patent is restrictive and prevents innovation and competition in the market

Overall I agree, but I would say that is also an example of a negative incentive. A patent is restrictive and prevents innovation and competition in the market. So the patent office erring on the side of granting dubious patents is a restrictive policy same as the FDA erring on the side of not approving useful drugs.