Which of the Following Circumstances Would Encourage I'MaPharmaCo

question 19

Multiple Choice

Which of the following circumstances would encourage I'MaPharmaCo. to increase research and development activities?

• A) cost of financial capital is high
• B) patent term expires in 20 years
• C) cost of financial capital is low
• D) a low rate of return is likely

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Definitions:

Demographic Transition

A model describing how the birth and death rates of a population change over time as a country develops from pre-industrial to industrial economic system.

Environmental Resistance

Factors in the environment that limit the growth, abundance, or distribution of an organism or a population of organisms.

Replacement Reproduction

Population in which each person is replaced by only one child.

Zero Population Growth

No growth in population size.