What are the benefits and costs to Indian citizens of allowing Indian companies to copy and sell patent-protected drugs developed by U.S. companies?
Please provide the best answer for the statement.
Indian citizens benefit from the added competition in the form of lower drug prices. The weak patent protections, however, discourage research and development. The lack of incentives to do research and development generates a lack of innovation and Indian authorities have recently moved to strengthen its patent protections. Stricter laws will provide the financial incentives necessary for innovative products to surface but will eventually hurt Indian citizens who benefit from the current low prices of drugs.
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The provision of aid to an individual who is not required to provide anything in exchange is called a transfer payment.
a. true b. false
How would aggregate demand change if foreign incomes increase and the exchange rate value of the dollar increases?
a. Neither change would affect aggregate demand. b. The increase in income would decrease aggregate demand; the increase in the exchange rate would increase aggregate demand. c. The increase in income would increase aggregate demand; the increase in the exchange rate would decrease aggregate demand. d. Both changes would decrease aggregate demand.