The largest spender on research and development in the world (in total dollars or dollar equivalents) is

Which of the following is not a problem with poorly defined property rights?

a. Insufficient incentive exists to produce resources that cannot be protected. b. Resources will tend to be underutilized. c. Individuals may be able to use resources without paying for them. d. Little incentive to conserve on the use of poorly defined resources.

Firms that face capacity constraints can only increase output only up to the capacity, but no further. Therefore, firms

a. Should price to capacity as long as MR > MC b. Should price to capacity as long as MR = MC c. Should price to capacity as long as MR < MC d. Should not take capacity into consideration in pricing decisions