Institutions and laws, such as patent protection, that foster innovations lead to economic growth because they
A) allow the government control of the innovations.
B) give confidence to inventors that they will profit from their innovation.
C) give confidence to consumers that the products they buy are safe.
D) give businesses loans to buy new machinery.

Question

Quizplus · Accepted Answer

Patent protection and other laws that support innovation provide inventors with incentives to create and develop new products or services, which in turn can lead to economic growth. By offering legal protections for their creations, inventors can feel confident that they will be able to profit from their ideas, which can lead to more innovation and, ultimately, economic growth.

Institutions and Laws, Such as Patent Protection, That Foster Innovations