If Congress reduced the period of patent protection from 20 years to 10 years, what would likely happen to the amount of private research and development?
A. Shorter patent protection would make innovation less lucrative, so the amount of research and development would likely decline.
B. Companies would simply stop their research and development. because the cost is not worth the return.
C. Companies would spend more on research because the patent period is shorter.
D. Companies would not likely change their research and development amounts because they need innovation to survive.
Answer is A.Shorter patent protection would make innovation less lucrative, so the amount of research and development would likely decline.
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a. true b. false
With a nominal interest rate of 10%, the present discounted value of $200 to be received in one year is
A) $90.91. B) $165.29. C) $181.82. D) $190.00. E) $220.00.