What is the importance of intellectual property rights in international trade?

The importance of intellectual property rights in international trade primarily lies in their ability to protect trademarks, copyrights, and patents. Intellectual property rights provide legal-recognition and protections for creators and inventors, thereby encouraging innovation and creativity. When these rights are enforced globally, they help create a stable environment for international trade by ensuring that businesses can operate without the fear of having their intellectual property misappropriated. This protection incentivizes investment in new technologies, products, and creative works, which can lead to increased economic growth and improved competitiveness among nations.

The other options, while they may touch on various aspects of international trade, do not directly address the fundamental role that intellectual property rights play in fostering an environment where innovation can thrive and be protected across borders.