The effect of market structure on technological change is:
A) inconclusive.
B) determined.
C) positive.
D) negative.

Question

Quizplus · Accepted Answer

The effect of market structure on technological change is inconclusive. While some studies have shown that monopolies may be less likely to invest in innovation, other studies have shown that monopolies may have more resources to invest in research and development. Additionally, competition can drive firms to invest in innovation to stay ahead of their rivals. Ultimately, the impact of market structure on technological change will depend on a variety of factors and can vary by industry and context.

The Effect of Market Structure on Technological Change Is