1.Why do economists argue in support of granting patent rights?

A)The new product could be copied or other firms could free-ride if not protected by patent

B)A substantial amount of start-up capital may be needed to conduct research and development

C)Research and development is risky and may not produce fruitful results

D)All of the answers are correct

2.Which of the following equations describes the profit-maximizing behavior of a monopolist?

A)MR = MC

B)P = MC

C)P = AFC

D)P = MR