Examlex
Because investors often cannot be fully compensated for the benefits their ideas provide to others, they may produce too little technology. Thus, there is a potential role for government in providing funds for research and development, both in industry and in universities.
Invest
The act of allocating resources, usually money, in the expectation of generating an income or profit.
Discount Rate
A percentage used to calculate the present value of future cash flows or investments.
Present Value
The current worth of a future sum of money or stream of cash flows given a specified rate of return, discounting future amounts to their present values.
Annual Rate
Typically refers to the interest rate for a whole year, often applied in terms of loans, investments, or savings.
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