Ordinarily, Governments Attempt to Promote Competition in Markets

question 104

Multiple Choice

Ordinarily, governments attempt to promote competition in markets.Why do governments use patents to block entry into some markets when this prohibits competition?

• A)Patents encourage firms to spend money on research necessary to create new products.
• B)Politicians sometimes succumb to pressure from lobbyists to grant favours to businesses for political reasons.
• C)Patents are an important source of government revenue.
• D)Patents are justified because they are an important means for creating network externalities.

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Definitions:

Eye Contact

The act of looking directly into another person's eyes, which can convey various emotions and social signals.

Symmetric

Having congruent shapes, sizes, and relative positions on opposite sides of a dividing line or mediant plane or about a center or axis.

Complementary

Complementary refers to practices or products that are used together with conventional medical treatment to enhance healing and wellbeing.

Therapeutic Response

The beneficial outcome or improvement in symptoms following a treatment or intervention.