Which of the Following Institutional Arrangements Is Most Likely to Promote

question 202

Multiple Choice

Which of the following institutional arrangements is most likely to promote growth?

• A) patents and copyrights that expire quickly and are loosely enforced
• B) strong government control over resource allocation decisions
• C) unrestricted trade between nations
• D) all of these

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Definitions:

Patent

A grant of exclusive property rights on inventions through the U.S. and other governments.

Trade Secret

Confidential information that provides companies with a competitive edge and is not in the public domain, such as formulas, patterns, compilations, programs, devices, methods, techniques, or processes.

Nondisclosure Agreement

A legal contract between at least two parties that outlines confidential material, knowledge, or information that the parties wish to share with one another for certain purposes, but wish to restrict access to or by third parties.

Copyright Violation

The infringement of copyright, which occurs when someone uses copyrighted material without permission in a way that violates one or more of the rights granted to the copyright holder.