New ideas and innovations by innovators are nonrival goods. That is, the same idea or innovation can be copied and used by several people without diminishing the original ones. Given this, do you think that the free market allocates resources toward innovation efficiently? If not, how does the government remedy this problem and encourage innovation in an economy?

Question

Quizplus · Accepted Answer

The Answer of New ideas and innovations by innovators are nonrival goods. That is, the same idea or innovation can be copied and used by several people without diminishing the original ones. Given this, do you think that the free market allocates resources toward innovation efficiently? If not, how does the government remedy this problem and encourage innovation in an economy?

New Ideas and Innovations by Innovators Are Nonrival Goods