Read the following passage and answer the item that follows. Your answer to this item should be based on the passage only.

Protection for a new plant variety gives its breeder exclusive rights for a fixed term, and the case for it is that breeding a variety takes years of work that nobody would undertake without some prospect of return. The cost falls on the farmer, who pays more for the seed while the term runs and whose freedom to save and exchange it is narrowed. Indian law has tried to hold both sides at once, granting the breeder a term while writing in a farmer's right to save, use and exchange seed from the harvest. Where that balance sits is argued over each time the law is reviewed, and it is not a question that has one permanent answer.

Based on the above passage, the following assumptions have been made:

1. Exclusive rights over a seed variety raise what farmers must pay while the term runs.

2. Dependence on foreign seed companies is a heavy burden for developing countries.

3. Breeders would continue to develop new varieties even without any exclusive rights.

4. A legal system has to find a workable balance between the breeder's rights and the farmer's.

Which of the above assumptions are valid?