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The Central Problem Leading to the Development of the Economics

Question 21

Multiple Choice

The central problem leading to the development of the economics of information is that:


A) firms can appropriate all of the gains to their innovations.
B) information is costly to produce but cheap to reproduce.
C) the demand for computer technology is perfectly inelastic.
D) the supply of computer technology is perfectly inelastic.
E) firms cannot patent information technology.

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