What Does a Government Do When It Wants to Give

question 48

Multiple Choice

What does a government do when it wants to give an exclusive right to one firm to produce a product?

• A)It imposes a tariff on imports of the product.
• B)It imposes a quota on imports of the product.
• C)It grants a patent or copyright to an individual or firm.
• D)It uses antitrust laws to keep other firms from entering the market.

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Definitions:

Consumers

Individuals or groups who use goods and services generated within the economy, playing a critical role in the demand and supply chain.

Positioning

The process of establishing a brand or product in the market by differentiating it from competitors, targeting specific consumer segments.

Benefits

Advantages or favorable outcomes provided, often in the context of employment, such as healthcare or retirement savings.

Consumer Tastes

Preferences and inclinations of consumers regarding products, services, and experiences, shaped by cultural, social, personal, and psychological factors.