Your perspective on patents seems colored by the relative recent advent of patent trolls and the use of litigation to stifle innovation and competition. I suggest you look at the situation in England around 300 years ago and compare to the feudal system that was the rule elsewhere at the time - everything had to be approved by the king or the nobility, who had vested interests in land owning and serf systems. This social order was the real inhibitor of technological progress that England was the first country the liberate itself from.

Laws that protected the IP rights of inventors were absolutely crucial to that process.