A monopoly has produced a product with a patent for the last few years. The patent is going to expire. What will likely happen to the demand for the patent-holder's product when the patent runs out?

Question

Quizplus · Accepted Answer

When the patent runs out, other firms will be able to produce the same product, leading to increased competition and a decline in demand for the patent-holder's product. Consumers will have more options to choose from, potentially driving prices down and reducing the market share of the patent holder.

A Monopoly Has Produced a Product with a Patent for the Last