Final answer:
The use of genetically altered livestock to produce medically useful products is called pharming (Option 4), a biotechnology process involving the genetic engineering of animals to express pharmaceuticals, which differs from traditional artificial selection.
Step-by-step explanation:
The use of genetically altered livestock, such as cows, goats, pigs, and chickens, to produce medically useful products is referred to as pharming (Option 4). This is a form of biotechnology where animals are genetically engineered to produce pharmaceuticals in their milk, blood, or other tissues. Pharming combines traditional animal husbandry with cutting-edge genetic engineering techniques to create organisms capable of producing therapeutic proteins, hormones, and other substances used in medicine. These genetically modified organisms (GMOs) are often referred to as transgenic animals because they contain recombinant DNA from different species.
Pharming is distinct from artificial selection or selective breeding, where humans breed plants and animals to pass on desirable traits without directly manipulating their genetic makeup. On the other hand, genetic engineering involves the direct manipulation of an organism's genes to achieve desired traits. Pharming, as a result of these advanced genetic engineering techniques, has led to the production of important medicinal compounds that are otherwise difficult or expensive to produce via conventional means.