Suppose that a drug for treating cancer is cleared by the Food and Drug Administration and that the company is successful in obtaining a patent for its product. Which of the following is then true?

Question

Quizplus · Accepted Answer

Obtaining a patent for the cancer drug would provide the company with exclusive ownership and the right to prevent others from making, selling or using the invention without permission for 20 years from the date of filing. This would create a monopoly for the company, leading to barriers to entry and allowing them to charge high prices for the drug. The method of producing the product would be considered intellectual property and protected by the patent. The drug may have substitutes, but they may not be as effective as the patented drug, providing the company with a competitive advantage.

Suppose That a Drug for Treating Cancer Is Cleared by the Food