Question

What are private property​ rights? Private property rights​ are:

Answer 1

Answer:

The correct answer is option C.

The correct answer is option E.

Explanation:

Property can be defined as the theoretical and legal rights of firms and individuals to own tangible, physical and intellectual property. Property rights make the basis of how economic goods can be used and owned.  

The four components of property rights are:

1. The right to use property
2. The right to earn from the property
3. The right to transfer or destroy property
4. The right to enforce property rights

These components of property rights encourage people to spend money on their property. A large number of people are encouraged to invest in the business.  

Firms will spend money on research and development as they have property rights and they can use their research to earn a profit.