A Patent Turns a New Idea into Which of the Following

question 49

Multiple Choice

A patent turns a new idea into which of the following goods?

• A)a public good, which increases the incentive to engage in research
• B)a public good, which decreases the incentive to engage in research
• C)a private good, which increases the incentive to engage in research
• D)a private good, which decreases the incentive to engage in research

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Definitions:

Fixture Filing

Fixture filing is a legal claim on personal property that has been attached or fixed to real estate in a manner that it is considered part of the real property.

Mechanic's Lien

A legal claim against a property for unpaid construction work or supplies, giving the contractor a right to secure payment.

Perfected Security Interest

A legal state where a creditor has taken all necessary steps required by law to enforce a security interest against the debtor's collateral in case of default.

Purchase Money Security Interest

A legal claim or lien on collateral that secures payment of the debt used to buy the collateral, often applied in context with the sale of personal property.