Protecting intellectual property rights:
A)encourages research and development.
B)gives incentive to innovate.
C)can reduce total surplus for society.
D)All of these statements are true.

Question

Quizplus · Accepted Answer

Protecting intellectual property rights encourages research and development by ensuring that the creators or inventors will receive the benefits of their efforts. It also gives incentive to innovate as people will be more likely to create if they know they can benefit from their work. However, it can also reduce total surplus for society when the costs of obtaining and enforcing patents or copyrights outweigh the benefits.

Protecting Intellectual Property Rights