Final answer:
The 6 major motivators for endogenous innovation include intellectual property rights, government assistance in R&D, cooperative research ventures, market competition, positive externalities of new technology, and the potential for temporary monopoly profits.
Step-by-step explanation:
The 6 major motivators for endogenous innovation in the context of government and market influence are:
- Intellectual Property Rights: Guaranteeing these rights encourages innovators by allowing them to protect their inventions and potentially benefit financially from them.
- Government Assistance: Financial aid for the costs of research and development can lower the barriers to innovation for private firms and individuals.
- Cooperative Ventures: Partnerships between universities and companies can be beneficial, fostering an environment conducive to innovation.
- Market Competition: The pursuit of higher profits drives companies to innovate to stay ahead of competitors.
- Positive Externalities: Technology that benefits society may motivate inventors to focus on certain innovations.
- Temporary Monopoly Profits: Innovating firms may enjoy a temporary market edge, leading to higher than normal profits and further incentivizing innovation.
These motivators help explain why firms and individuals invest in new technologies and the role that government policies play in fostering an innovative economy.