When Goods Are Produced Privately, but the Cost of Their

question 151

Multiple Choice

When goods are produced privately, but the cost of their purchase is paid for by the taxpayer or some other third party,

• A) consumers have a strong incentive to search out those firms offering them the best deal.
• B) private producers of such goods will have little incentive to control costs and provide them at low prices.
• C) goods and services will only be supplied if consumers are willing to pay an amount sufficient to cover their production costs.
• D) the invisible hand will direct consumers and producers toward an efficient level of output.

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Definitions:

Patentable

Qualifying for protection under patent law, typically requiring that an invention is new, non-obvious, and useful or industrially applicable.

Fixed

Fixed means something that is securely attached or set in place, not subject to change or variation, or repaired.

Patent Litigation

The legal process of resolving disputes over patent infringement, validity, or enforcement.

Discovery

The pretrial phase in a lawsuit during which each party requests relevant documents and other evidence from the other side in an attempt to “discover” pertinent facts and to avoid any surprises in the courtroom during the trial. Discovery tools include requests for admissions, interrogatories, depositions, requests for inspection, and document production requests.