Morris pharmaceutical company will soon face the patent expiration of a type of HIV drugs, which is considered as no substitute in the current market for HIV medicines. Which of the following description is not correct after the patent expiration? Please explain why.
1) In the market for the same type of drugs (brand name and generic drugs together), the (aggregate) supply curve will shift to the right.
2) In the market for this Morris brand name drug, the demand curve will shift to the left.
3) In the market for the same type of drugs (brand name and generic drugs together), the equilibrium quantity will increase.
4) In the market for this Morris brand name drug, the demand curve will become less elastic.