Technology spillovers:
A)Can be reduced by way of patents.
B)Can lead to clustering of technology firms near one another.
C)Are examples of positive externalities.
D)All of the above are true.

Question

Technology spillovers:
A)​Can be reduced by way of patents.
B)​Can lead to clustering of technology firms near one another.
C)​Are examples of positive externalities.
D)​All of the above are true.

Quizplus · Accepted Answer

All of the statements are true. Patents can reduce technology spillovers by protecting the intellectual property of firms. Clustering of technology firms near one another can lead to knowledge spillovers and collaborations. Technology spillovers are an example of positive externalities as they provide benefits to individuals and firms beyond those who actually invest in the technology.

Technology Spillovers